Initial Environmental Examination

Project Number: 50164-001 March 2018 Document Stage: Final

Proposed Loan China Water Environment Group Investment and Xinkai Water Environment Investment Integrated Wastewater Management Project (People’s Republic of China)

The initial environmental examination is a document of the borrower. The views expressed herein do not necessarily represent those of ADB’s Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the “terms of use” section of this website.

Nanming River Rehabilitation Project Phase 2 – Stage 2

Initial Environmental and Social Examination

March 2018

China Water Environment Group Limited Table of Content

I. EXECUTIVE SUMMARY ...... 1

A. Introduction ...... 1 B. The Project ...... 1 C. Baseline Environment and Social Conditions ...... 2 D. Impacts and Mitigation Measures ...... 3 E. Public Consultation and Grievance Redress Mechanism ...... 3 F. Environmental and Social Management Plan ...... 4 G. Conclusion ...... 4

II. INTRODUCTION ...... 5

III. POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK ...... 6

A. Policy Framework ...... 6 B. Legislative Framework for Environmental and Social Impact Assessment in PRC...... 6 C. International Agreements ...... 9 D. Applicable PRC and ADB Policies and Assessment Categories ...... 9 E. Assessment Standards ...... 10

IV. DESCRIPTION OF PROJECT ...... 14

A. Overview ...... 14 B. Sub-project 1: Jinyang Wastewater Treatment Plant Phase 2 ...... 16 C. Sub-project 2: Jinbai Wastewater Treatment Plant ...... 18 D. Sub-project 3: Nanming River Riverbank Interception Channels and Grit Chamber Project ...... 19 E. Sub-project 4: Nanming River Basin Remote Sensing Monitoring ...... 20 F. Sub-project 5: Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment ...... 20 G. Sub-project 6: Huaxi River Water Environment Integrated Management Project ...... 21 H. Sub-project 7: Guanchenghe Wastewater Treatment Plant ...... 22 I. Project Schedule ...... 22 J. Manpower Requirement...... 22 K. Implementation Arrangement ...... 23

V. DESCRIPTION OF ENVIRONMENT AND SOCIAL CONDITIONS ...... 25

A. Environmental Setting ...... 25 B. Physical Environment of the Project Site ...... 28 C. Ecological Resources ...... 34 D. Protected Areas and Physical Cultural Resources ...... 35 E. Socio-Economic Conditions ...... 36 F. Existing and Predicted Climate Change ...... 38 G. Associated Facilities ...... 41

VI. ANTICIPATED ENVIRONMENTAL AND SOCIAL IMPACTS AND MITIGATION MEASURES ...... 43

A. Design and Planning Phase and Avoided Impacts ...... 43 B. Pre-Construction Phase ...... 45 C. Construction Phase ...... 47 D. Operational Phase ...... 56 E. Indirect, Induced, and Cumulative Impacts ...... 59 F. Climate Change ...... 60

VII. ANALYSIS OF ALTERNATIVES ...... 62 A. Design Options for Output 1: Jinyang Wastewater Treatment Plant Phase 2...... 62 B. Design Options for Output 2: Jinbai Wastewater Treatment Plant ...... 62 C. Design Options for Output 3: Nanming River Riverbank Interception Channels and Grit Chamber Project ...... 65 D. Design Options for Output 4: Nanming River Basin Remote Sensing Monitoring ...... 65 E. Design Options for Output 5: Guiyang City Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment...... 65 F. Design Options for Output 6: Guiyang City Huaxi River Water Environment Integrated Management Project ...... 65

VIII. PUBLIC CONSULTATION, PARTICIPATION AND INFORMATION DISCLOSURE 67

A. Legislative Framework for Public Consultation and Information Disclosure ...... 67 B. Information Disclosure ...... 67 C. Future Information Disclosure and Public Consultation Program ...... 73

IX. GRIEVANCE REDRESS MECHANISM ...... 74

X. ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN...... 76

XI. CONCLUSIONS ...... 77

ATTACHMENT 1: ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN ...... 78

ATTACHMENT 2: ENVIORNMENTAL AUDIT REPORT ...... 97

ATTACHMENT 3: SOCIAL AUDIT REPORT ...... 141

ATTACHMENT 4: APPROVAL OF PROJECT PROPOSAL ...... 172

ATTACHMENT 5: LIST OF PERSONS MET ...... 173

ATTACHMENT 6: PRE-EXAMINATION OF LAND USING FOR NANMING RIVER ENVIRONMENT IMPROVEMENT PROJECT (PHASE 2- STAGE 2) ...... 174

ATTACHMENT 7: LETTER OF DOMESTIC LAND USING APPROVAL PROCEDURES FOR NANMING RIVER ENVIRONMENT IMPROVEMENT PROJECT (PHASE 2) ...... 175

ATTACHMENT 8: LIST OF IUCN STATUS OF SPECIES FROM THE PROJECT AREA 176

II List of Tables

Table II-1 List of Subprojects under the Project Table III-1 Applicable Environmental Laws Table III-2 National and Local Administrative Regulations on Environmental Issues Table III-3 Relevant Laws and Regulations on Social Issues Table III-4 Applicable Environmental Guidelines Table III-5 Applicable Environmental Standards Table III-6 List of Project Components Table III-7 Environmental Quality Classes in the Project Area Table III-8 Comparison of PRC and WBG Ambient Air Quality Standards Table III-9 Environmental Quality Standards for Noise (equivalent sound level LAeq: dB) Table III-10 Surface Water Quality Standard (Unit: mg/L, pH is dimensionless.) Table III-11 Groundwater Quality Standard for Category III (Unit: mg/L, pH is dimensionless, Chromaticity: degree) Table III-12 Air Pollutant Limits Table III-13 Integrated Wastewater Discharge Standards (GB 8978-1996) Table III-14 Construction Site Noise Limits. Unit: Leq [dB (A)] Table IV-1 Approximate Geographical Coordinates of Sub-Projects under Nanming River Watershed Management Project Phase 2 – Stage 2 Table IV-2 Water Quality of Nanming River from 2012 to 2015 Table IV-3 Overall Project Schedule Table V-1 Baseline Surface Water Quality Sampling and Water Quality Standards Table V-2 Baseline Air Quality Sampling and Air Quality Standards Table V-3 Annual Average Ambient Air Quality (2016) Table V-4 Baseline Noise Sampling and Noise Standards Table V-5 Habitat Types Recorded from the Project Area (Huaxi District) Table V-6 Statistical Evaluation of Vascular Plants from the Project Area Table V-7 Land of Population (2015) of Guiyang City Table V-8 Economic Performance in Guiyang City Table V-9 Project Affected Communities Table V-10 Land Use in Guiyang City Table V-11 Cultivated Land Distribution in the Affected Districts Table V-12 Income Level of 3 Affected Districts Table V-13 Income Source of Residents in Guiyang (2016) Table VI-1 Job Opportunities During Construction Stage Table VI-2 Job Opportunities During Operation Stage Table VI-3 Ethnic Minority Households Affected by LAR Table VI-4 Sensitive Receptors and Project Area of Influence Table VI-5 Summary of Soil Excavation, Reuse and Disposal Table VI-6 Forecast of TSP Concentrations Generated from Transfer Vehicles Table VI-7 Noise from PME at different distance Table VI-8 Unmitigated Construction Noise Levels at Sensitive Receptors Table VI-9 Summary of loss of habitats and vegetation Table VI-10 Species of conservation concern within the Study Area of Huaxi River Water Environment Integrated Management Project Table VII-1 Comparison of treatment system for Jinyang WWTP Phase 2 Table VII-2 Comparison of layout plans for Jinbai WWTP Table VII-3 Comparison of the alternative routes for the Baihua Lake Interception System Table VII-4 Alternative Comparison of Settling Basins Table VII-5 Alternative Comparison of Dredging Methods Table VIII-1 Subproject Information Disclosure Schedule

III Table ESMP-1 Potential Impacts and Mitigation Measures during Construction and Operation Phases of the Project Table ESMP-2 Environmental & Social Mitigation Measures Implementation Cost Estimates Table ESMP-3 Environment Monitoring Plan – Jinyang Wastewater Treatment Plant Phase 2 Table ESMP-4 Environment Monitoring Plan – Jinbai Wastewater Treatment Plant Table ESMP-5 Environment Monitoring Plan – Nanming River Riverbank Interception Channels and Grit Chamber Project Table ESMP-6 Environment Monitoring Plan – Huaxi River Water Environment Integrated Management Project Table ESMP-7 Proposed Project "Three-Simultaneity” Environmental Protection Inspection Checklist

IV List of Figures

Figure IV-1 Map of Guiyang Figure IV-2 Location of the sub-projects under Nanming River Watershed Management Project Phase 2 – Stage 2 Figure IV-3 Location of Jinyang Wastewater Treatment Plant Phase 2 Figure IV-4 Wastewater Treatment Process Flow Diagram of Jinyang WWTP Phase 2 (Modified A2/O Process) Figure IV-5 Location of Jinbai Wastewater Treatment Plant Figure IV-6 Wastewater Treatment Process Flow Diagram of Jinbai WWTP (FBBR Process) Figure IV-7 Location of Nanming River Riverbank Interception Channels and Grit Chamber Project Figure IV-8 Location of Huaxi River Water Environment Integrated Management Project Figure V-1 Nanming River and Its Watersheds Figure V-2 Shixi River, Jinyang WWTP and Yangliuchong Discharge Pipeline, and Liyu Channel Figure V-3 Jinbai WWTP, Baihua Lake, and Maijia River Figure V-4 Layout of the Huaxi River Water Environment Integrated Project Figure V-5 Location of Jinyang WWTP Phase 2 and its respective monitoring points Figure V-6 Location of Jinbai WWTP and its respective monitoring points Figure V-7 Location of Huaxi River Water Environment Integrated Management Project and its respective monitoring points Figure V-7 Location of Huaxi Park in Relation to the Project Figure V-6 Mean Annual Rainfall and Temperature for Guiyang City (1991 – 2015) Figure V-7 Temperature variation in Yunnan-Guizhou Plateau (1960 – 2010)7 Figure V-8 Precipitation variation in Southwestern China and Yunnan-Guizhou Plateau (1960 – 2010) Figure V-9 Location of Xinzhuang WWTP Figure V-10 Location of Gaoyan Sanitary Landfill Figure VI-1 Workers Camps and Migrant Worker’s School at Jinyang WWTP Phase 2 Figure VI-2 Locations of dredging activities Figure VII-1 Alternative locations for Jinbai WWTP Figure VII-2 Alternative routes for the Baihua Lake Interception System Figure VIII-1 Information Disclosure in Guiyang Government Website for Jinyang Wastewater Treatment Plant Phase 2, Jinbai Wastewater Treatment Plant, and Huaxi River Water Environment Integrated Management Project Figure VIII-2 Second Information Disclosure in Guiyang Government Website for Jinyang Wastewater Treatment Plant Phase 2 Figure VIII-3 Second Information Disclosure in Guiyang Government Website for Jinbai Wastewater Treatment Plant Figure VIII-4 Second Information Disclosure in Guiyang Government Website for Guiyang City Huaxi River Water Environment Integrated Management Project

V Abbreviations

A2/O Anaerobic/Anoxic/Oxic AC Affected Community ADB Asian Development Bank AP Affected Persons AQG Air Quality Guideline CESM Corporate Environmental and Social Manager CESMT Corporate Environmental and Social Management Team CSC Construction Supervision Company CWE China Water Environment Group Limited DEIA domestic environmental impact assessment DMS Detailed Measurement Survey DI design institute EHS Environmental, Health and Safety EIA Environment Impact Assessment ESMP Environmental and Social Management Plan EPB Environmental Protection Bureau ESMS Environmental and Social Management System FBBR Fluidized Bed Biofilm Reactor FDI Foreign Direct Investment FSR Feasibility Study Report GDP Gross Domestic Product GEPB Guiyang Environmental Protection Bureau GHG Greenhouse Gas GRM Grievance Redress Mechanism IESE Initial Environmental and Social Examination IP Indigenous Peoples IPP Indigenous Peoples Plan MEP Ministry of Environment Protection MSW Municipal Solid Waste NDN Nitrification/Denitrification NDRC National Development and Reform Commission PESM Project Environmental and Social Manager PESMT Project Environmental and Social Management Team PRC People’s Republic of China RESM Regional Environmental and Social Manager RESMT Regional Environmental and Social Management Team RP Resettlement Plan SPS ADB’s Safeguard Policy Statement UAV Unmanned Aerial Vehicle WHO World Health Organization WWTP Wastewater Treatment Plan

VI WEIGHTS AND MEASURES km kilometer m2 square meter mu Chinese land measuring unit (1 hectare = 15 mu) 1 mu = 666.7 m2

7 I.EXECUTIVE SUMMARY

A. Introduction

1. China Water Environment Group Limited (CWE) has requested the Asian Development Bank (ADB) to provide investment support for the Nanming River Watershed Management Project Phase 2 – Stage 2 (the Project). The project consists of a series of subprojects with the aim of improving the water quality as well as the protection of species and other natural resources in the Nanming River Watershed. 2. This Initial Environmental and Social Examination (IESE) has been prepared in accordance with domestic regulatory requirements and the Asian Development Bank’s Safeguard Policy Statement (SPS, 2009). It is based on: (i) information in the domestic environmental impact assessment (DEIA); (ii) feasibility study report (FSR) prepared by national institutes for the project, (iii) land acquisition and compensation agreements, (iv) result of detailed measurement survey (DMS), (v) consultation records, and (vi) receipts of compensation. In addition, site visits and interviews were conducted to assess the labour and working conditions, land acquisition and involuntary resettlement (LAR), indigenous peoples, and gender and development aspects of the project. The IESE includes an Environmental and Social Management Plan (ESMP) (Attachment 1), which will be the guiding document for environmental and social-related issues in the construction and operational phases of the Project. B. The Project

3. The proposed Nanming River Watershed Management Project Phase 2 – Stage 2 (“the Project”) is located in Guiyang City of Guizhou Province and designed to improve the sustainable management of watershed resources and maintain adequate water availability and quality of Nanming River and its tributaries. The Project involves wastewater treatment plants and pipe network constructions to achieve a total treatment capacity of 565,000 tons/day, 5 tributaries (82km) regulation and ecological remediation, water resource utilization, sludge disposal and utilization. The Project consists of 7 sub-projects and are summarized as follows. Sub-project 1: Jinyang Wastewater Treatment Plant Phase 2 is located in Guanshanhu District and designed with a treatment capacity of 100,000 m3/day. The modified Anaerobic/Anoxic/Oxic (A2/O) wastewater treatment process was implemented with an improved performance of nitrogen and phosphorus removal from wastewater. This sub-project is currently in trial operation and is expected to commence commercial operation in the first half of 2018.

Sub-project 2: Jinbai Wastewater Treatment Plant is located in the northern region of Guanshanhu District, designed with a treatment capacity of 30,000 m3/ day by 2018 and applied the use of Fluidized Bed Biofilm Reactor (FBBR) wastewater treatment methods. Wastewater pipe networks of 13,500m in length along Jinlong Road and an advanced sludge treatment centre with a capacity of 20 tons/ day will also be constructed. The Plant is currently in trial operation and is expected to commence commercial operation in the second half of 2018.

Sub-project 3: Nanming River Riverbank Interception Channels and Grit Chamber Project is located in the Xinzhuang Village of Wudang District, the grit chamber was designed with a capacity of 800,000 m³/day. This sub-project applied the use of a horizontal flow grit chamber, which removes grit from wastewater and protects moving mechanical equipment from abrasion and abnormal wear as well as to avoid deposition in pipelines, channels and conduits. Environmental acceptance tests were suspended as the wastewater collected at the Grit Chamber Project has substantially more sand, grit and soil than expected. Thus, it is currently undergoing a design and installation modification process.

Sub-project 4: Nanming River Basin Remote Sensing Monitoring involves the use of high resolution satellite remote sensing technology and Unmanned Aerial Vehicle (UAV) remote sensing technology, to monitor water parameters of the main stream and tributaries of Nanming River and to develop a database with statistics and images. The monitoring will commence after the completion of the wastewater treatment plants and pipe network constructions under the Project, with an implementation period of 1 year.

1 Sub-project 5: Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment involves the conduct of comprehensive studies on the health of Nanming River’s ecosystems and ecological environments, including aspects of water quality, water biology, hydrology and hydrodynamics. The assessments will be conducted for nine tributaries of Nanming River, which has an area of over 1,400 km2 in total. This sub-project will commence after the completion of the wastewater treatment plants and pipe network constructions under the Project, with an implementation period of 2 years.

Sub-project 6: Huaxi River Water Environment Integrated Management Project is located in the Huaxi District and involves the construction of 5 water quality monitoring stations, landscape renovation of the river downstream as well as the reconstruction of drainage systems and three fixed dams for performance improvements. This sub-project is expected to complete construction and testing and commissioning in the first half of 2018.

Sub-project 7: Guanchenghe Waste Water Treatment Plant is designed with a capacity of 60,000 m3/day. This sub-project is currently undergoing the approval process with the local government and will be constructed under the Nanming River Watershed Management Project Phase 2 – Stage 3. Therefore, this sub-project will not be included in this IESE.

4. In overall, the Project design elements will contribute to decreasing pollutant emissions to air and water, improved landfills, remediation of improper waste disposal and wastewater discharge sites and contaminated ground water as well as the protection of species and other natural resources. The expected impact of the Project will improve water environment, management of surface water resources and quality of life in Guiyang City. C. Baseline Environment and Social Conditions

5. Overview. Nanming River, a tributary of Wu River, flows into Guiyang City from Zhongcao Village of Huaxi Village, and passes through the Nanming District and Yunyan District, then flows into Qinshui River. Nanming River is approximately 118 km long. Within these regions, there are two large water reservoirs, Huaxi and Aha, which are the main water supply resources for Guiyang City. The Project Area is predominantly within the Huaxi, Yunyan, Guangshanhu, and Wudang Districts of Guiyang City. The Guiyang City is located in the middle of mountain valley, where both surface and ground water flow mainly from north and south to the center of the basin. The Project mainly involves the Nanming River Basin, including Shixi River, Xiaowan River, Maijia River, and Huaxi River (Class II – III Waterbodies under national standards “Environmental Quality Standards for Surface Water [GB 3838-2002]”).

6. Physical Environment. Surface water quality in Guiyang has improved over the years. However, based on the water quality data collected from the Project Area, some areas still exceed the PRC standards due to insufficient wastewater collection system and intercepting channels, which leads to the release of stormwater and other surface runoff into the waterbodies. As there are no major industrial developments or other emission sources within or close to the sampling locations in the Project Area, the air quality/noise environment of the Project Area appears to be relatively less polluted. Air and noise monitoring indicate that the Project Area is in compliance with Class II standards for ambient air quality (GB 3095-2012) and environmental quality standard for noise (GB 3096-2008) respectively.

7. Ecology. Ecological values in the project sites are considered to be relatively low. No species of conservation significance or trees of high amenity value were recorded from the Project Area. For the wildlife recorded in the Project Area, three species are second class national protected animal while sixteen species are Guizhou Province level protected animals.

8. Socio-economic status. Guiyang City, the capital city of Guizhou Province, is located in the central part of the province. It has a population of 3.9 million in 2016. Because of its special location, Guiyang is an important traffic hub in the southwestern region of China, as well as a comprehensive industrial base and scenic spot. In 2015, Guiyang has a GDP of CNY 289.1 billion (approximately US$44.36 billion), a 12.5 percent increase from the previous year. The average annual salary for Guiyang is CNY 63,949 in 2015, which has increased by 7.8% comparing to the previous year. The Guiyang’s poverty incidence in 2015 is estimated to be 0.8%.

2 9. Climate Change. Observed results suggested that in Guiyang, overall temperature is rising, but the magnitude of warming of the minimum temperature was more than that of the maximum temperature. While there are no trend variations in extreme precipitation yet, a significant increase of rainy days and frequency of extreme precipitation were observed in the recent years. In addition, warming and precipitation increasing were more apparent in high altitude area. D. Impacts and Mitigation Measures

10. Avoided Impacts. Integrated design and safeguard project planning approach was adopted to avoid potential environmental and social impacts. Prior to the construction of new facilities, community health and safety buffer zones for the project sites were established as per requirements in the DEIA approval. In addition, two potential options for the project site, including new treatment plant locations and pipeline routes, were proposed, in which parameters such as environmental and social impacts, land availability, service area coverage, and construction complexity were analyzed. Different wastewater treatment systems and ancillary system designs were also assessed during the design phase to avoid potential environmental and social impacts.

11. Construction Phase. Key risks and mitigation measures were as follows. (i) Clearance of small areas of scrub lands and trees, as well as habitat loss due to excavation and earth works – All disturbed areas will be restored after completion of construction works and the affected habitats will also be compensated. (ii) Impacts to water quality of the waterbodies nearby the construction sites – Construction and domestic wastewater generated on site will be collected and treated, and will either be reused or discharged to the public sewer interceptor. (iii) Air pollution and noise impacts from construction activities – Dust removal equipment, screen sheds and noise barriers will be provided around the construction sites. Transport activities and the use of high noise and high vibration equipment will be away from residential areas. (iv) Generation of construction, hazardous, and domestic waste in the construction sites – The waste will be cleared and removed regularly. Construction and domestic waste will be disposed of at designated landfills while hazardous waste will be handled by qualified collection company. (v) Health and safety – Signage will be provided around the construction sites to raise awareness of safety issues. Construction workers will be trained on general health and safety matters, and specific hazards of their works. Monitoring programs will also be set up in order to keep track of the water quality, air quality and noise levels during the construction periods.

12. Operation Phase. Potential indirect impacts to the hydrology and ecology of the Nanming River, as a consequence of the Project, are considered minor. This is due to the project design, which includes control of wastewater quantity and quality discharge from the sub-projects. Induced impacts could occur in the event of malfunctioning of wastewater management systems or accidents. This impact is likely to be of limited concern due to the relatively small volume of water discharged from the sub-projects compared to the overall flow volume of the Nanming River. Additionally, the sub-project companies have online water quality monitoring systems and environmental risk contingency plans in place, which could detect abnormalities in a timely manner and minimize the impacts resulted from unexpected conditions.

13. Climate Change. The Project is fundamentally designed toward improving resilience to climate change by ensuring a good perpetuation of the natural water cycle. Greenhouse gases can be emitted to the atmosphere during wastewater treatment processes, and adaptation measures have been included in the project designs to mitigate the impacts on climate change. E. Public Consultation and Grievance Redress Mechanism

Public Consultation 14. According to Guiyang EPB’s website, two rounds of information dissemination were conducted for each of the subprojects.

Grievance Redress Mechanism 15. A Grievance Redress Mechanism was developed in order to receive and facilitate resolution of affected persons (AP) and/or affected communities’ (AC) concerns, complaints, and grievances about environmental performance, physical and economic displacement and affect Indigenous Peoples (IPs) communities, as a result of the development of CWE’s subprojects, through a transparent and understandable consultative process.

3 16. The steps of the Grievance Redress Mechanism are summarized as follows: Stage 1. Recording and Registering Grievances

The Project Environmental and Social Management Team (PESMT) shall act as the central point of contact for the GRM in project and subproject level. On receipt of a complaint concerning any aspect of the project or subproject, in forms mentioned above or others as appropriate, the complaint shall be recorded in a grievance log and registered in a central data system for further action and internal tracking.

Stage 2. Screening and Assessing the Grievances

The PESM shall determine the eligibility of the grievance / complaint received with reference to the following criteria: (i) If the complaint pertains to the aspect of the project or subproject; (ii) If the complainant has a direct relationship with the project or subproject; and (iii) If the issues raised in the complaint fall within the safeguard scopes that the GRM is authorized to address. If the complainant is not eligible to be established, the complainant shall be informed of the decision and the reasons for the rejection. If the initial screening establishes the eligibility of the received grievance, the PESMT shall then conduct an assessment to investigate and verify the details and nature of the grievance.

Stage 3. Formulating Response and Redress Approach and Implementation

An initial response shall be formulated by the designated complaint-resolution personnel responsible for the assessment of the grievance / complaint. Depending upon its seriousness, relevant departmental managers, and/or the PESM/PESMT may need to participate in the feedback process at different levels. In the event of disagreement or any disputes between the APs and the Project Company, the case shall be escalated to higher authority, e.g. the RESM/RESMT, CESM/CESMT, or judicial authority if necessary, for resolution. Any outcome shall be communicated to the AP via written notice.

Stage 4. Settling, Tracking, Monitoring, Documentation and Evaluation of the Outcome

An evaluation system shall be established to assess the overall effectiveness and the impact of the GRM. PESM shall summarize and report all complaints / grievances received and the corrective actions taken correspondingly to the CESM/CESMT either on an annual or bi-annual basis. The results shall be used to contribute to continuous improvement of the GRM and provide valuable feedback to CWE management.

F. Environmental and Social Management Plan

17. An Environmental and Social Management Plan was developed that describes the requirements for impact mitigation, roles and responsibilities, monitoring, and reporting for environmental and social safeguards. The ESMP includes the GRM and an environmental monitoring program, to monitor and report on the environmental performance of construction and operations. The program forms part of a comprehensive set of environmental management documents. The ESMP includes institutional responsibilities, training needs, reporting schedules and implementation costs. It will include the program for future public consultation. G. Conclusion

18. It can be concluded that full and effective implementation of the Project ESMP, together with the training and Project assurances, will minimize the environmental risks of the Project and achieve compliance with the policy and regulatory standards applied in this IESE.

4 II.INTRODUCTION

19. Guiyang City is the capital of Guizhou Province, located in the southwest of China and the eastern side of the Yunnan-Guizhou Plateau. The total land area of Guiyang is 8,034 square kilometers, accounting for 4.6% of the area of Guizhou province and has a population of around 4.7 million. Guiyang has direct jurisdiction over six districts, one county-level city and three counties. The districts are Nanming, Yunyan, Huaxi, Wudang, Baiyun and Guanshanhu. 20. The Nanming River is a tributary of Wu River in the Yangtze River Basin, with a total length of 215km. It is known as the Mother River of Guiyang City and also the largest urban river in Guizhou Province. Due to rapid economic development in the area from 2004 to 2012, the water quality of the main stream river and branches have been dropped down to Class V of PRC Environmental Water Quality Standard (GB 3838-2002). 21. Supported by the local government, China Water Environment Group Limited (CWE) is developing a series of projects, named as Nanming River Watershed Management Project, which aims to improve of the water quality, landscaping, wastewater treatment ability of the Nanming River water environment. The Nanming River Watershed Management Project is the first Public- Private Partnership (PPP) project implementation with the whole basin the recent years. Since the implementation of Watershed Management Project, the water quality of Nanming River has been improving from 2012 to 2015. 22. For Stage 2 of the Nanming River Watershed Management Project Phase 2 (hereinafter “the Project” or “Nanming River Watershed Management Project Phase 2 – Stage 2”), there are a total of 7 subprojects, including wastewater treatment facility, Interception system improvement, as well as ricer water quality improvement, etc. The list of subprojects are listed in the table below:

Table II-1 List of Subprojects under the Project

No. Subprojects Project Status as of December 2017 1 Jinyang Wastewater Treatment Plant Phase 2 In trial operation 2 Jinbai Wastewater Treatment Plant In trial operation 3 Nanming River Riverbank Interception Channels and Grit Environmental acceptance tests currently Chamber Project suspended to undergo design and installation modification process 4 Nanming River Basin Remote Sensing Monitoring To commence after completion of the WWTP and pipe network constructions 5 Guiyang City Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment 6 Guiyang City Huaxi River Water Environment Integrated Under construction Management Project 7 Guanchenghe Wastewater Treatment Plant* Pending approval from local government * This sub-project will be constructed under the Nanming River Watershed Management Project Phase 2 – Stage 3. Therefore, this sub-project will not be included in this IESE.

23. The Project’s safeguard requirements are based on the Category in accordance with ADB’s Safeguard Policy Statement (SPS, 2009). The potential environmental impacts of the Project are site-specific and mitigatable. Therefore, the environmental category of the Project is classified as “Category B”, requiring the preparation of an Initial Environmental and Social Examination (IESE) and Environmental and Social Management Plan (ESMP). The project is classified as ‘Category B’ for Involuntary Resettlement (IR) and ‘Category C’ for Indigenous Peoples (IP) by ADB. 24. The IESE is based on information in the subproject feasibility reports (FSR) and domestic environmental impact assessment (DEIA) reports. The data presented in tables and figures in this IESE are from the FSR and DEIAs unless otherwise stated.

5 III.POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK

A. Policy Framework

25. Guizhou Province requires both mitigation and adaptation strategies to address climate change, incorporating technological innovation and structural adjustment, whilst also setting goals controlling greenhouse gas emissions. In addition, mitigation measures to address land acquisition and involuntary resettlement, indigenous peoples/ethic minority issues, labour and working conditions, and stakeholder engagement are also required. 26. Policies and actions for mitigation of climate change impacts include: (i) promote the optimization of industrial structure through economic structural adjustment; (ii) improve energy efficiency; (iii) development of renewable energy; (iv) reduce greenhouse gas emissions by the development of a circular economy; (v) reduce greenhouse gas emissions caused by agriculture production; (vi) strengthen carbon sequestration promoting tree planting; and (vii) enhance the scientific response to climate change by increasing research efforts. 27. Policies and actions for mitigation of social impacts include: (i) promote and provide means for adequate engagement with affected stakeholders through the project cycle on issues that could potentially affect them; (ii) disclose and disseminate all the relevant social information; (iii) compensate/offset for risks and impacts to workers and affected stakeholders; and (iv) ensure that grievances from affected stakeholders are responded to and managed appropriately. 28. Adoption of climate change policies and mitigation actions has been implemented in Guizhou Province in agriculture, forestry, water resources, Baihua River and other vulnerable areas. Positive results have been achieve, including: (i) efforts to establish and improve the adaption of policies and regulations to climate change; (ii) the protection of forests and other natural ecosystems; (iii) strengthening of policies and regulations in water conservation and water planning, especially in regards to: flood control and disaster mitigation; the rational allocation of water resources; and water resources protection; (iv) improved monitoring and early warning systems for extreme weather and climate events; and (v) research on human health issues caused by climate change. B. Legislative Framework for Environmental and Social Impact Assessment in PRC

29. The EIA management procedure has been established in the PRC since early 1990s. The DEIA upon which this IESE is based were prepared under the provisions of the PRC’s EIA law of 2016 and the Classified Administration Catalogue of EIAs for Construction Projects (2015). The Preparation Requirements of EIA Table 1 for Construction Projects (2012[51], MEP), which requires that the summary of the DEIA reports should be disclosed on local EPB’s website a significant development that provides for opportunities to involve the public in the EIA process. The primary national laws and regulations that governed the EIA studies of the proposed project are provided in Table III-1 and 30. Table III-2 respectively. 31. With regard to managing the social dimensions of the proposed project, the relevant national laws, regulations and guidelines related to social impact assessment, land acquisition, ethnic minorities, and consultation and participation are provided in Table III-3.

Table III-1 Applicable Environmental Laws

No. Title of the Law Year Issued 1 Environmental Protection Law 2014 2 Environmental Impact Assessment Law 2016 3 Water Law 2016 4 Water Pollution Prevention and Control Law 2008 5 Air Pollution Prevention and Control Law 2015 6 Noise Pollution Control Law 1996 7 Forestry Law 2016

1 A simplified EIA Report for smaller scale projects defined under the Classified Administration Catalogue of EIAs for Construction Projects (2015).

6 No. Title of the Law Year Issued 8 Wild Fauna Protection Law 2016 9 Solid Waste Pollution Prevention and Control Law 2015 10 Water and Soil Conservation Law 2010 11 Promoting Clean Production Law 2012 12 Urban and Rural Planning Law 2015 13 Land Administration Law 2004 14 Circular Economy Promotion Law 2009 15 Energy Conservation Law 2007 16 Work Safety Law 2014 17 Prevention and Control of Occupational Diseases Law 2016

Table III-2 National and Local Administrative Regulations on Environmental Issues

No. Title of the Regulations Year Issued National 1. Regulation on EIA Preparation for Infrastructure Planning Projects 2009 2. Regulations on the Administration of Construction Project Environmental 2017 Protection 3. Guiding Rules for Identifying Solid Wastes (on trial) 2017 4. Regulation on Protection of Wild Flora 1997 5. Classified Administration Catalogue of EIAs for Construction Projects 2016 6. Regulation on Cultural Heritage Protection 2016 7. Regulation on River Course Management 1998 8. Regulation on Basic Farmland Protection 1999 9. Regulation on Staged Evaluation and Approval of Construction Project EIA 2009 Documents (MEP) 10. National Biodiversity Strategy and Action Plan (2011-2030) 2010 11. Requirement for Social Risk Assessment of Large Investment Projects 2012 12. Regulation on Information Disclosure 2007 13. Information Disclosure Mechanisms for Construction Projects EIA 2015 14. The National Catalogue of Hazardous Wastes 2016 15. The Decision of the State Council on Several Issues Relating to 1996 Environmental Protection 16. The Administrative Measures on Environmental Acceptance of Completed 2001 Construction Projects 17. The Administrative Regulations for Supervision, Monitoring and Completion 2009 Environmental Acceptance of “Three-Simultaneous” Construction Projects (On Trial) 18. The Measures for the Prevention and Control of Environmental Pollution by 2005 Discarded Dangerous Chemicals 19. Measures on Public Participation in Environmental Protection 2015 20. Information Disclosure Guidelines for Construction Projects EIA (On Trial) 2013 21. The Measures for Enterprise Environmental Information Disclosure 2014 22. Regulations on Labor Protection in Workplaces where Toxic Substances are 2002 Used Local 23. Guizhou Province’s Regulation on Environmental Protection 2009 24. Guizhou Province’s Regulation on the Administration of Geological 2007 Environment 25. Guizhou Province’s Regulation on Air Pollution Prevention 2016 26. Guizhou Province’s Regulation on Water Resources Environmental 2002 Protection for Hongfeng River and Baihua River 27. Guizhou Province’s Regulation on Promoting Ecological Civilization 2014

Table III-3 Relevant Laws and Regulations on Social Issues

No. Title of the Laws & Regulations Year Issued National 1. Notice of Application Reports of Projects issued by NDRC 2007 2. Land Administration Law 1999

7 No. Title of the Laws & Regulations Year Issued 3. Law of the People’s Republic of China on Administration of the Urban Real 1994 Estate 4. The document 28: State Council’s Decision to Deepen Reform and Strictly 2004 Enforce Land Administration 5. Regulations on the Protection of Basic Cultivated land 1998 6. The Land Administration Law 2004 7. The Implementation Rules for The Land Administration Law 1999 8. Decision of the State Council on Deepening the Reform and Rigidly 2004 Enforcing Land Administration 9. Guidelines on Improving the System of Land Compensation and 2004 Resettlement 10. Real Property Rights Law 2007 11. The Administrative Measures for the Pre-view of Land Use for Construction 2009 Projects of the local government 12. Regulations on the Expropriation of Houses on State-owned Land and 2011 Compensation 13. Regulations on Appraisal of the Houses on State-owned Land 2011 14. Ethnic Minority Autonomous Religion Law 1984 15. Notice of State Council on the Establishment of Ethnic Minority Villages 1983 16. Regulation on the Work of Administrative Urban Ethnic Minority 1993 17. Labor Law 1995 18. Law of the People’s Republic of China on the Protection of Rights and 1992 Interests of Women Local 19. Guizhou Provincial Land Administrative Regulation 2000 20. Integrated Land Acquisition Price of Guiyang City 2009

32. The PRC has established a comprehensive regulatory framework for environment safeguards, composed of laws and administrative legislation promulgated by the State Council; departmental regulations issued by the Ministry of Environment Protection (MEP); and provincial legislation and regulations, environmental standards; and international agreements. The amended Environmental Protection Law of the PRC (2014) and the Measures on Public Participation in Environmental Protection (2015) further strengthen the requirement of public participation and information disclosure. The suit of laws, regulations, guidelines and standards that governed the EIA studies of the proposed project are provided in Table III-4 to Table III-5 respectively.

Table III-4 Applicable Environmental Guidelines

No. Title of the Guideline Year Issued 1. Guideline on Jurisdictional Division of Review and Approval of EIAs for 2009 Construction Projects 2. Guideline on EIA Categories of Construction Projects 2008 3. Technical Guideline on EIA Outline (HJ2.1-2016) 2016 4. Technical Guideline on EIA Regarding Surface Water (HJ/T 2.3-1993) 1993 5. Technical Guideline on EIA Regarding Atmospheric Environment (HJ 2.2- 2008 2008) 6. Technical Guideline on EIA Regarding Acoustic Environment (HJ 2.4-2009) 2009 7. Technical Guideline on EIA Regarding Ecological Impact (HJ 19-2011) 2011 8. Technical Guideline on Underground Water Environment (HJ610-2016) 2016 9. Technical Specification on Water and Soil Conservation Plan (GB50433- 2008 2008) 10. Technical Guideline on Environmental Risk Assessment for Construction 2004 Project (HJ/T 169-2004) 11. Industrial Restructuring Directory 2013

Table III-5 Applicable Environmental Standards

No. Title of the Standards Year Issued 1. Surface Water Quality Standards (GB 3838-2002) 2002 2. Ambient Air Quality Standards (GB 3095-2012) 2012 3. Urban Ambient Acoustic Quality Standards (GB 3096-2008) 2008 4. Integrated Emission Standards of Air Pollutants (GB 16297-1996) 1996

8 5. Municipal Wastewater Treatment Plant Pollutant Discharge Standards (GB 2002 18918-2002) 6. Integrated Wastewater Discharge Standards (GB 8978-1996) 1996 7. Drinking Water Quality Standards (GB 5749-2006) 2006 8. Groundwater Quality Standards (GB/T 14848-93) 1993 9. Emission Standards of Environment Noise for Boundary of Site (GB 12523- 2011 2011) 10. Noise Limit of Industrial Enterprises (GB 12348-2008) 2008 11. Standards for Pollution Control on Hazardous Waste Storage (GB 18597- 2001 2001) 12. Emission Standards for Odor Pollutants (GB 18599-2001) 2001 13. Emission Standards for Environmental Pollutants in Guizhou Province 2013 (DB52/864-2013)

C. International Agreements

33. The PRC is a signatory to international agreements on environmental protection. Those relevant to the Project, along with the date of signing by the PRC, include: - Kyoto Protocol to the United Nationals Framework Convention on Climate Change, 23 February 2005. To reduce greenhouse gas emissions by enhancing the national programs of developed countries aimed at this goal and by establishing percentage reduction targets for the developed countries;

- Montreal Protocol on Substances that Deplete the Ozone Layer, 1 January 1989. To protect the ozone layer by controlling emissions of substances that depletes it; and,

- United Nations Framework Convention on Climate Change, 21 March 1994. To stabilize greenhouse gas concentrations in the atmosphere at a low enough level to prevent dangerous anthropogenic interference with the climate system.

D. Applicable PRC and ADB Policies and Assessment Categories

34. ADB’s Safeguard Policy Statement (SPS 2009) provides the basis for this Project IESE. All projects funded by ADB must comply with the SPS. The purpose of the SPS is to establish an environmental review process to ensure that projects undertaken as part of programs funded under ADB loans are environmentally sound, are designed to operate in line with applicable regulatory requirements, and are not likely to cause significant environment, health, or safety hazards. 35. This Project is classified as Environmental Category B under ADB SPS 2009, requiring an initial environmental and social examination (IESE), as the project environmental impacts are site- specific and mitigatable. 36. According to the Classified Administration Catalogue of EIAs for Construction Projects issued by the PRC’s Ministry of Environmental Protection (MEP) in 2017, river management projects that involve Water Resource Protection Zones and wastewater treatment plants of capacity over 100,000 m3/day require a full Environmental Impact Assessment (EIA) Report. As the Guiyang City Huaxi River Water Environment Integrated Management Project involves the management of Class I and II Water Resource Protection Zones, a full EIA Report was prepared. The other sub-projects were required to be prepared in the EIA Table format as the Project activities are classified as “Insignificant Impact”. The DEIA reports were reviewed and approved by Guiyang Environmental Protection Bureau (EPB). Components of “Nanming River Watershed Management Project Phase 2 – Stage 2”, and approval date of each component’s EIA are listed in Table III-6 below. Table III-6 List of Project Components

Project Components Date of EIA Approval Jinyang Wastewater Treatment Plant Phase 2 29 February 2016 Jinbai Wastewater Treatment Plant 24 April 2017 Nanming River Riverbank Interception Channels and Grit Chamber Project 28 March 2016

9 Nanming River Basin Remote Sensing Monitoring Not required* Guiyang City Nanming River Biological Survey, Water Quality Monitoring, Not required* Ecological Assessment Guiyang City Huaxi River Water Environment Integrated Management 29 April 2017 Project Guanchenghe Wastewater Treatment Plant** EIA not prepared yet * Preparation and submission of EIA Report is not required as the subproject does not involve construction and/or operation of infrastructures. ** This sub-project will be constructed under the Nanming River Watershed Management Project Phase 2 – Stage 3. Therefore, this sub-project will not be included as a component of Nanming River Watershed Management Project Phase 2 – Stage 2.

E. Assessment Standards

37. The environmental standard system that supports the implementation of the environmental protection laws and regulations in the PRC can be classified by i) ambient environmental quality, and ii) pollution emission and/or discharge standards. ADB’s SPS requires projects to apply pollution prevention and control technologies and practices consistent with international good practices such as the World Bank Group’s Environmental, Health and Safety (EHS) Guidelines2. For this assessment, where EHS standards exist for parameters and are relevant, they are used in parallel with PRC standards in this assessment. 1. Evaluation against Ambient Standards

38. Guizhou EPB has designated the environmental quality classes that apply to each component of the proposed Project, which is summarized in Table III-7 below. Table III-7 Environmental Quality Classes in the Project Area

Function Area Function Classes for the Project Air quality Class II of GB3095-2012 Acoustic environment Class II of GB3096-2008 Surface water quality Class III of GB3838-2002 Groundwater quality Class III of GB/T14848-93

39. Air Quality Standards. The PRC ranks air quality into three classes according to “Ambient Air Quality Standard” (GB 3095-1996). Class I is the best air quality and Class III is the worst. A new set of standards was issued in 2012 (GB 3095-2012), replacing GB 3095-1996, and is effective in all municipal level city on 1 January 2016 nationwide. The new standards combine Class II and Class III and introduce PM2.5 standards, and make NO2 standards more stringent. 40. The World Health Organization (WHO) has set up air quality guideline (AQG) standards for various air quality parameters for the protection of public health. Recognizing that progressive actions are needed to achieve these standards and the financial and technological limitations of some countries or localities especially in developing countries, the WHO also established interim targets as intermediate milestones towards achieving the AQG (Table III-8).

Table III-8 Comparison of PRC and WBG Ambient Air Quality Standards

Parameter Averaging PRC National PRC National World Bank Group period Standards Class I Standards Class II EHS Guidelines3 (μg/m3) (μg/m3) (μg/m3) GB3095- GB3095- GB3095- GB3095- Interim AQG 1996 2012 1996 2012 target SO2 1-year 20 20 60 60 n/a n/a 24-hour 50 50 150 150 50-125 20 1-hour 150 150 500 500 n/a n/a NO2 1-year 40 40 80 40 n/a 40 24-hour 80 80 120 80 n/a n/a

2 World Bank Group. 2007. Environmental, Health and Safety Guidelines General EHS Guidelines. Washington: World Bank. 3 World Bank Group. 2007. Environmental, Health and Safety Guidelines General EHS Guidelines. Washington: World Bank.

10 1-hour 120 120 240 200 n/a 200 CO 24-hour 4,000 4,000 4,000 4,000 n/a n/a 1-hour 10,000 10,000 10,000 10,000 n/a n/a TSP 1-year 80 80 200 200 n/a n/a 24-hour 120 120 300 300 n/a n/a PM10 1-year 40 40 100 70 30-70 20 24-hour 50 50 150 150 75-150 50 PM2.5 1-year - 15 n/a 35 15-35 10 24-hour - 35 150 75 37.5-75 25 * n/a = not applicable

41. Ambient Acoustics Quality Standards. Noise environment for the project’s settings will be evaluated against Class II standards of the Ambient Acoustic Quality Standards (GB3096-2008), which categorizes five functional areas based on their tolerance to noise pollution: from Category 0 to Category 4. Category 0 is for areas with convalescent facilities that are the least tolerant to noisy environment, and therefore, has the most stringent day and night time noise standards. Category 1 is for areas predominated by residential areas, hospitals and clinics, educational institutions and research centers. Category 2 is for areas with mixed residential and commercial functions. Category 3 is for areas with industrial production and storage and logistics functions. Category 4 is for regions adjacent to traffic noise sources such as major roads and highways, and is subdivided into 4a and 4b with the former applicable to major road and marine traffic noise and the latter applicable to rail noise. 42. Standards for various functional area categories are compared with the WBG’s EHS guidelines presented in Table III-9 below, showing that the EHS guidelines have lower noise limits for residential, commercial and industrial mixed areas but higher noise limits for industrial areas. The EHS guidelines do not have separate noise limits for trunk roads but apply the same noise limits based on whether the areas are for residential or industrial uses.

Table III-9 Environmental Quality Standards for Noise (equivalent sound level LAeq: dB)

Functional Applicable Area Daytime Nighttime Area PRC National Standards Class II 06:00 - 22:00 22:00 - 06:00 0 Areas needing extreme quiet, such as convalescence 50 40 areas 1 Areas mainly for residence, hospitals, cultural and 55 45 educational institutions, administration offices 2 Residential, commercial and industrial mixed areas 60 50 3 Industrial areas, warehouses and logistic parks 65 55 4a Area within 35 m from both sides of expressway, and 70 55 Class 1 and Class 2 roads 4b Areas nearby railway operation 70 60 WBG EHS Guidelines4 07:00 - 22:00 22:00 - 07:00 - Residential; institutional; educational 55 45 - Industrial; commercial 70 70

43. Surface Water Quality Standards. For water quality assessment, the determining standards will be Surface Water Quality Standards (GB3838-2002). It defines five water quality categories for different environmental functions. Class I is the best, suitable for head waters and National Nature Reserves. Class II is suitable for drinking water sources in Class I protection areas, habitats for rare aquatic organisms, breeding grounds for fish and crustaceans, and feeding grounds for fish fries. Class III is suitable for drinking water sources in Class II protection areas, wintering grounds for fish and crustaceans, migration routes, water bodies for aquaculture and capture fishery, and swimming activities. Class IV is suitable for general industrial use and non- contact recreational activities. Class V is the worst which is only suitable for agricultural and scenic water uses. The surface water quality standards for each categories are shown in Table III-10. There are no EHS guidelines or targets for water quality in this context.

4 World Bank Group 2007, lbid

11 Table III-10 Surface Water Quality Standard (Unit: mg/L, pH is dimensionless.)

Parameter pH DO COD BOD5 NH3-N TP TN Category I Standard 6-9 ≥7.5 ≤15 ≤3 ≤0.15 ≤0.02 ≤0.2 Category II Standard 6-9 ≥6 ≤15 ≤3 ≤0.5 ≤0.1 ≤0.5 Category III Standard 6-9 ≥5 ≤20 ≤4 ≤1.0 ≤0.2 ≤1.0 Category IV Standard 6-9 ≥3 ≤30 ≤6 ≤1.5 ≤0.3 ≤1.5 Category V Standard 6-9 ≥2 ≤40 ≤10 ≤2.0 ≤0.4 ≤2.0 Source: Surface Water Quality Standard (GB3838-2002).

44. Groundwater Quality. The determining standards for groundwater quality will be Groundwater Quality Standards (GB/T 14848-1993). There are no equivalent EHS targets. 45. The standard defines five water quality categories for different environmental functions. Category I is the best, with the lowest background level of natural chemical composition. Class II has a higher natural chemical composition than Category I. Both Category I and II are suitable for any kind of water use. Category III is with reference to the Human Health Index, which is suitable for industrial, agricultural and household drinking purposes. Category IV is mainly used as industrial and agricultural use and requires treatment for household usage purpose. Category V is the worst and are not suitable for any kind of water use.

46. The project region satisfies the Category III of Groundwater Quality Standards shown in Table III-11 below. Table III-11 Groundwater Quality Standard for Category III (Unit: mg/L, pH is dimensionless, Chromaticity: degree)

Parameter Standard Parameter Standard pH 6.5-8.5 Cyanide ≤0.05 CODMn ≤3.0 Arsenic ≤0.05 Total Hardness ≤450 Selenium ≤0.01 TDS ≤1000 Cadmium ≤0.01 NH3-N ≤0.2 Chromium-6 ≤0.05 NO3-N ≤20 Copper ≤1.0 Sulfate ≤250 Zinc ≤1.0 Chloride ≤250 Iron ≤0.3 NO2-N ≤0.02 Manganese ≤0.1 Mercury ≤0.001 LAS ≤0.3 Lead ≤0.05 Fluoride ≤1.0 Total Coliform Volatile Phenol ≤0.002 (MPN/L) ≤3.0 Source: Groundwater Quality Standard (GB/T 14848-93)

2. Emission Standards for Construction and Operation Activities

47. Air Quality. Fugitive emission of particulate matter (such as dust from construction sites) is regulated under PRC‘s Air Pollutant Integrated Emission Standard (GB 16297-1996) and Ambient Air Quality Standards (GB 3095-2012). Class II of GB 16297-1996 applies to this project, which sets 120 mg/m3 as the maximum allowable emission concentration and ≤1.0 mg/m3 as the concentration limit at the boundary of construction sites, with no specification on the particle diameter. Odor from the temporary storage and treatment of sediment spoil from dredging should follow the Malodorous Pollutant Emission Standard (GB 14554-93). The maximum allowable concentration at the boundary of the sties for odor is 20 (dimensionless). During the operation stage, air pollutants discharged should comply with Class II standard in Air Pollutant Comprehensive Emission Standard (GB 16297-1996) (Table III-12). Table III-12 Air Pollutant Limits

Parameter Maximum Allowable Limit Concentration for Fugitive Standard Concentration Emission Monitoring PM 120mg/m3 Maximum concentration at the GB 16297-1996 boundary 1.0mg/m3 Odor 20 (dimensionless) - GB 14554-93

12 48. Sediment and Sewage Discharge. Discharge of sediment generated from coagulation and flocculation during the water treatment process and discharge of sewage (or municipal wastewater) generated from the site office during operation into city sewage pipelines is regulated under Class I and Class III of PRC‘s Integrated Wastewater Discharge Standards (GB 8978-1996) respectively. Class I standards apply to discharges into Category III water bodies under GB 3838-2002. Class II standards apply to discharges into Categories IV and V water bodies. Class III standards apply to discharges into municipal sewers going to municipal wastewater treatment plants (WWTPs) with secondary treatment. Table III-13 below summarizes some of the key parameters established for each Class in GB 8978-1996.

Table III-13 Integrated Wastewater Discharge Standards (GB 8978-1996)

Class I Class II Class III For discharge into For discharge into For discharge Parameter Category III water Category IV and V into municipal body water bodies sewer pH 6–9 6-9 6-9 Chromaticity 50 80 - SS mg/L 70 150 400 BOD5 mg/L 20 30 300 COD mg/L 100 150 500 TPH mg/L 5 10 20 Volatile phenol mg/L 0.5 0.5 2.0 NH3-N mg/L 15 25 - 2- PO4 (as P) mg/L 0.5 1.0 - LAS (= anionic surfactant) mg/L 5.0 10 20 Fecal coliform 500 1,000 5,000

49. Noise. Construction noise will be assessed against the PRC Emission Standards of Ambient Noise for Boundary of Site Noise (GB 12523-2011), while operation noise will be evaluated against Class II of Emission Standard for Industrial Enterprises Noise at Boundary (GB 12348- 2008). Respective standards are shown in Table III-14 below.

Table III-14 Construction Site Noise Limits. Unit: Leq [dB (A)]

Noise Limit Period Major Noise Source Day Night Construction (GB 12523- Bulldozer, excavators and loader; pile driving machines; 70 55 2011) concrete mixer, vibrator and electric saw; hoist and lifter Operation (Class II of GB Pumps 60 50 12348-2008)

50. Solid Waste. Sludge and municipal solid waste (MSW) disposal to landfill shall comply with the Standard for Pollution Control on the Landfill Site of MSW (GB 16889-2008). Particularly, this standard requires the moisture content of sludge disposed of not to exceed 60%. 51. Storage of chemical waste from the laboratory and chemical dosing rooms shall comply with Standard for Pollution Control on Hazardous Waste Storage (GB 18597-2001).

13 IV.DESCRIPTION OF PROJECT

A. Overview

52. Guiyang City is the capital of Guizhou Province, located in the southwest of China and the eastern side of the Yunnan-Guizhou Plateau. The total land area of Guiyang is 8,034 km2, accounting for 4.6% of the area of Guizhou province and has a population of around 4.7 million. Guiyang has direct jurisdiction over six districts, one county-level city and three counties. The districts are Nanming, Yunyan, Huaxi, Wudang, Baiyun and Guanshanhu. The county-city is Qingzhen and the counties are Kaiyang, Xifeng and Xiuwen. In 2016, Guiyang was named as the Best- Performing City in China by the Milken Institute owing to the city's growth in jobs, wages, gross domestic product (GDP) and foreign direct investment (FDI). The map of Guiyang is shown in Figure IV-1.

Source: www.tianditu.com, 2018.

Figure IV-1 Map of Guiyang

53. The Nanming River is a tributary of Wu River in the Yangtze River Basin, with a total length of 215km. It is known as the Mother River of Guiyang City and also the largest urban river in Guizhou Province. Environmental pressures were significantly enlarged for Nanming River as Guiyang’s GDP increased over four times from 2004 to 2012, and over 700,000 tons of waste water were directly discharged into the Nanming River each day. The water quality of the main stream river and the tributaries relapsed as the economy grew and dropped down to below Class 5 in 2012. 54. The first Eco Forum Global Conference held in Guiyang in 2013, which urged more action to improve water quality. Due to the huge local financial pressure, the Guiyang Government opened the market to the private sector and China Water Environment Group (CWE) was chosen as the social investor, responsible for the planning and design, financing, construction and operation for the Nanming River Watershed Management Project. 55. The Nanming River Watershed Management Project is the first PPP project implementation with the whole basin in the recent years, and its development will be in three phases. Phase 1 (November 2012 – May 2013) comprised of main stream river (36.4km) sewage interception works, dredging and tilting dam reconstruction, 6 wastewater treatment plants and upgrades to achieve a treatment capacity of 500,000 tons/day as well as landscape enhancement along the river and monitoring platform constructions. Phase 2 (September 2015 – December 2018) involved wastewater treatment plants and pipe network constructions to achieve a treatment

14 capacity of 565,000 tons/day, five tributaries (82km) regulation and ecological remediation, water resource utilization, sludge disposal and utilization. Phase 3 (2019 – 2025) will focus on industrial structure adjustment, non-point source pollution control, soil and water conservation and implementation of long term mechanisms. 56. The scope of this IESE will be the sub-projects under Nanming River Watershed Management Project Phase 2 – Stage 2, which includes 6 sub-projects: 1. Jinyang Wastewater Treatment Plant Phase 2; 2. Jinbai Wastewater Treatment Plant; 3. Nanming River Riverbank Interception Channels and Grit Chamber Project; 4. Nanming River Basin Remote Sensing Monitoring; 5. Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment; and 6. Huaxi River Water Environment Integrated Management Project.

57. Although Guanchenghe Wastewater Treatment Plant is also one of the sub-projects under Nanming River Watershed Management Project Phase 2 – Stage 2, its government approval process is still ongoing. As such, Guanchenghe Wastewater Treatment Plant will not be covered in this IESE.

Table IV-1 Approximate Geographical Coordinates of Sub-Projects under Nanming River Watershed Management Project Phase 2 – Stage 2

Sub-projects under Nanming Approximate Geographical Coordinates River Watershed Management Latitude, Longitude GPS Project Phase 2 – Stage 2 Jinyang Wastewater Treatment Plant Phase 2 Jinbai Wastewater Treatment Plant Nanming River Riverbank Interception Channels and Grit Chamber Project Nanming River Basin Remote Sensing Monitoring Nanming River Biological Survey, Both projects Involves the entire Nanming River Basin Water Quality Monitoring, Ecological of Guiyang, covering an area of over 1433 km2. Assessment

Huaxi River Water Environment Integrated Management Project Guanchenghe Wastewater This project is still undergoing the approval process Treatment Plant with the local government, detailed project information and location has not yet been confirmed.

58. The location of the sub-projects is shown in Figure IV-2.

15

Source: www.tianditu.com, 2018.

Note: As “Nanming River Basin Remote Sensing Monitoring” and “Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment Project” involves the entire Nanming River Basin, and “Guanchenghe Wastewater Treatment Plant” is still undergoing the approval process with the local government, the three sub-projects are not specifically indicated in this figure.

Figure IV-2 Location of the sub-projects under Nanming River Watershed Management Project Phase 2 – Stage 2

59. According to CWE, the water quality of Nanming River has improved significantly after the implementation of the Nanming River Watershed Management Project (Phase 1 and Stage 1 of Phase 2). The river portion that were worse than Class V decreased from 51.0% to 7.0% while water quality achieving Class IV or above increased from 38.9% to 67.2%. Black and odorous problems were basically solved. The water quality of Nanming River recorded from 2012 to 2015 is shown in Table IV-2.

Table IV-2 Water Quality of Nanming River from 2012 to 2015

Time Worse than Class V Class V Class IV Class III 2012.06 (Before treatment) 51.0% 10.1% 8.8% 30.1% 2013.06 (After Phase 1) 17.4% 22.0% 28.2% 32.4% 2015.06 (During Phase 2) 7.0% 26.8% 31.6% 35.6% B. Sub-project 1: Jinyang Wastewater Treatment Plant Phase 2

60. Guanshanhu District is located in the upstream of Aha Reservoir and Baihua River Reservoir’s tributaries (Xiaowan River, Nanmen River), which is a water sensitive region. Due to the acceleration of urbanization, the amount of wastewater generated in the district has exceeded the treatment capacity of Jinyang Wastewater Treatment Plant Phase 1 (50,000 m3/ day), resulting in some untreated wastewater to be discharged into Shi Xi River which ultimately

16 pollutes Nanming River. As a result, the local government urged the expansion of the existing wastewater treatment plant, to mitigate water pollution in nearby water bodies. According to the “Guiyang City Guanshanhu District Overall City Planning” and “Guiyang City Guanshanhu District Control Comprehensive Planning”, Jinyang and Jinbai Wastewater Treatment Plants are designed to mitigate the wastewater discharge problems in central and eastern regions as well as western and northern regions of Guanshanhu District respectively. 61. Jinyang Wastewater Treatment Plant Phase 2 is located in Guanshanhu District of Guiyang city, at the north side of the Phase 1 plant, as shown in Figure IV-3. The land area of Phase 2 is 43.3091 mu and designed with a capacity of 100,000 m3/day by 2030, in which 50,000m3/day will be ensured by 2020. The COD and ammonia nitrogen levels of discharged water of Phase 2 will comply with Class IV of “Environmental Quality Standards for Surface Water” (GB 3838-2002) while other relevant indicators will meet Class IA of “Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant” (GB 18918-2002) before discharging into Shixi River. Sludge generated will be dewatered on site to moisture content not exceeding 80%, and will be delivered to the sludge dewatering centre at Xinzhuang WWTP for further treatment to achieve moisture content of ≤50%. It will then be disposed of at a local sanitary landfill.

Source: www.tianditu.com, 2018.

Figure IV-3 Location of Jinyang Wastewater Treatment Plant Phase 2

62. This Project implemented the use of the modified Anaerobic/Anoxic/Oxic (A2/O) wastewater treatment process as shown in Figure IV-4, which is the combination of the traditional activated sludge process, biological nitrification and de-nitrification technology, biological phosphorus removal process and a continuous flow sludge system. This modified process is commonly applied in China and has improved the performance of nitrogen and phosphorus removal from wastewater.

17 High Influent Secondary Efficient Grit Sedimentation Anaerobic Anoxic Oxic Sedimentation Sedimen- Chamber Tank Tank Tank Tank Disinfection Tank tation Tank

Sludge Reflux Residual Sludge Purified Water Effluent

High Concentration Sludge Sludge Cake Sludge Dewatering Storage

Figure IV-4 Wastewater Treatment Process Flow Diagram of Jinyang WWTP Phase 2 (Modified A2/O Process)

63. This sub-project has a total of 20 operation staff. It is currently in trial operation and is expected to commence commercial operation in the first half by the end of 2018. C. Sub-project 2: Jinbai Wastewater Treatment Plant

64. Jinbai Wastewater Treatment Plant is located in the northern region of Guanshanhu District as shown in Figure IV-5, with a capacity of 240,000 m3/ day, in which it is estimated that 30,000 m3/ day of the plant will be built by 2018. Wastewater pipeline networks (including pumping stations) along Jinlong Road and an advanced sludge treatment centre with a capacity of 20 tons/ day will also be constructed by 2018.

Source: Feasibility Report of Jinbai WTTP, 2015.

Figure IV-5 Location of Jinbai Wastewater Treatment Plant

65. The Fluidized Bed Biofilm Reactor (FBBR) wastewater treatment method is applied in Jinbai Wastewater Treatment Plant, which consists of passing wastewater up through a packed bed of particles at a velocity sufficient to impart motion to or fluidize the particles. As the flow of the wastewater passes upward through the biological bed, very dense concentrations of organisms growing on the surface of the bed particles consume the biodegradable waste contaminants in the liquid, which is shown in Figure IV-6. Above the bed is a clear water zone wherein the particles separate from the liquid.

18

Figure IV-6 Wastewater Treatment Process Flow Diagram of Jinbai WWTP (FBBR Process)

66. Jinbai Wastewater Treatment Plant will mainly collect wastewater from downstream areas of Nanmen River as well as Zhuchang Town and Changchong Village. The pipeline networks of around 13,000m in length will collect wastewater from Jinhua, Zhuchang and the north-west of Guanshanhu region, and will be distributed to the Jinbai Wastewater Treatment Plant through Baihua River east coast’s interception channel. All the treated wastewater will meet Class IA of “Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant” (GB 18918-2002) and will then be discharged into Maijia River, which will not bring any adverse impacts to Aha Reservoir and Baihua River, the two water resource protected zones. 67. The Plant has 28 staff in total when in full operation. It is currently in trial operation and is expected to commence commercial operation in the second half by the end of 2018. D. Sub-project 3: Nanming River Riverbank Interception Channels and Grit Chamber Project

68. The current wastewater generation rate of Xinzhuang Village has exceeded the treatment capacity of both Phase 1 and 2 of Xinzhuang Wastewater Treatment Plant, leading to large amount of untreated wastewater to be discharged into Nanming River directly. Wastewater with high grit content may also cause serious damage to the wastewater pre-treatment facilities and equipment, such as grit chambers and water pumps. According to the record of Xinzhuang Wastewater Treatment Plant Phase 1, the grit content per m3 of wastewater is approximately 0.08L. 69. In order to mitigate the above situations, the Nanming River Riverbank Interception Channels and Grit Chamber Project was designed with a capacity of 800,000 m³/day and is located at the West side of Xinzhuang Wastewater Treatment Plant Phase 1 and 10m away from Nanming River, as shown in Figure IV-7.

19

Source: www.tianditu.com, 2018.

Figure IV-7 Location of Nanming River Riverbank Interception Channels and Grit Chamber Project

70. A horizontal flow grit chamber will be constructed in this Project, which are intended to remove grit, consisting of sand, gravel, cinder, or other heavy solids materials that have specific gravity that are higher than those of the organic solids in wastewater. It will also protect moving mechanical equipment from abrasion and abnormal wear as well as to avoid deposition in pipelines, channels and conduits. 71. The grit chamber has a total of 3 management staff, which the operation and maintenance of the grit chamber will be fully managed by Xinzhuang Wastewater Treatment Plant Phase 1. Environmental acceptance tests were suspended as the wastewater collected at the Grit Chamber Project has substantially more sand, grit and soil than expected. Thus, it is currently undergoing a design and installation modification process. E. Sub-project 4: Nanming River Basin Remote Sensing Monitoring

72. The Nanming River Basin Remote Sensing Monitoring Project is designed to monitor water quality parameters of Nanming River and to develop a database with statistics and images, which can be used to study historical and future changes of water clarity within the region. As the traditional river water quality monitoring method involves manual sampling processes which are time consuming with high difficulties to trace the source of pollution, remote sensing monitoring techniques with high accuracy and efficiency will be applied. 73. High resolution satellite remote sensing technology will be used to monitor the quality of the main stream of Nanming River and tributaries including Xiaoche River, Shixi River and Guancheng River. Statistical data of river color, transparency, turbidity as well as the amount of chlorophyll and suspended particles will be captured, which allows water quality variation trends to be identified and analyzed. For critical sections of Nanming River, Unmanned Aerial Vehicle (UAV) remote sensing technology will be applied to obtain high spatiotemporal remote sensing imagery of multispectral and thermal infrared data, for the monitoring of surface water quality at specific regions. 74. This Project was planned to commence after the completion of the wastewater treatment plants and pipe network constructions under the Nanming River Watershed Management Project Phase 2 – Stage 2, with an implementation period of 1 year. F. Sub-project 5: Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment

75. The Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment Project involves the conduct of comprehensive studies on the health of Nanming River’s ecosystems and ecological environments, including aspects of water quality, water biology, hydrology and hydrodynamics. Based on these information, local databases could be developed which further

20 benefit the designs of ecological risk management strategies and systems. The assessments will be conducted for nine tributaries of Nanming River, including Chetian River, Chenliang River, Mati River, Xiaoche River, Shixi River, Guancheng River, Songxi River, Yuliang River and Yudong River, which has an area of over 1,400 km2 in total. 76. This Project will commence after the completion of the wastewater treatment plants and pipe network constructions under the Nanming River Watershed Management Project Phase 2 – Stage 2, with an implementation period of 2 years. G. Sub-project 6: Huaxi River Water Environment Integrated Management Project

77. The Huaxi River Water Environment Integrated Management Project was designed to mitigate the severe pollution of Huaxi River as a result of the city’s rapid urbanization. The location of this Project is shown in Figure IV-8 and the scope of the integrated management are as follows: Water Quality Monitoring: Five monitoring stations will be constructed within the area from Huaxi Reservoir to Sanjiangkou, and all monitored data will be shared with the local Ecological Committee for integrated management.

Landscape renovation of the river downstream: Pavement renovations and installation of stone fences will be conducted for the interception channel at Huaxi River downstream, in order to enhance aspects of river safety, functionality and landscape environment. The renovation area is approximately 4km in length.

Reconstruction of drainage systems for performance improvements: The drainage systems within the area from Huaxi Reservoir to Sanjiangkou of approximately 14km in length will be reconstructed and upgraded to control the exogenous pollution of Huaxi River.

Reconstruction of fixed dams for performance improvements: Three fixed dams will be reconstructed and upgraded with six new manual gates installed, to reduce the sediments stored at the dams.

Source: EIA Report of Huaxi River Water Environment Integrated Project, 2017.

21 Figure IV-8 Location of Huaxi River Water Environment Integrated Management Project

78. This Project is expected to complete construction and commence commercial operation in January 2018 and it is estimated that there will be 6 staff in total when in full operation. This sub- project is expected to complete construction and commence testing and commissioning in the first half of 2018. H. Sub-project 7: Guanchenghe Wastewater Treatment Plant

79. The Guanchenghe Wastewater Treatment Plant is designed with a capacity of 60,000 m3/day. This sub-project is currently undergoing the approval process with the local government and will be constructed under the Nanming River Watershed Management Project Phase 2 – Stage 3. I. Project Schedule

80. The overall project schedule for the Nanming River Watershed Management Project Phase 2 – Stage 2 is summarized in Table IV-3.

Table IV-3 Overall Project Schedule

No. Subprojects Construction Construction Trial Operation Commercial Commencement Completion Operation 1 Jinyang Wastewater To commence 3 months after To be completed Treatment Plant Phase 2 12/15/2015 after completion commencement by end of 2017 of construction of trail operation 2 Jinbai Wastewater To commence 3 months after To be completed Treatment Plant 1/20/2016 after completion commencement by end of 2017 of construction of trail operation 3 Nanming River Riverbank Interception Channels and 9/30/2015 7/14/2017 N/A* 7/14/2017 Grit Chamber Project 4 Nanming River Basin To commence Remote Sensing after completion of Monitoring WWTP and pipe – N/A* – network constructions 5 Guiyang City Nanming To commence River Biological Survey, after completion of Water Quality Monitoring, WWTP and pipe – N/A* – Ecological Assessment network constructions 6 Guiyang City Huaxi River Water Environment 3/29/2016 1/30/2018 – – Integrated Management Project 7 Guanchenghe Wastewater Treatment – – – – Plant** * Trail operation is not required. This sub-project will begin commercial operation after completion of construction. ** This sub-project will be constructed under the Nanming River Watershed Management Project Phase 2 – Stage 3. Therefore, this sub-project will not be included in this IESE.

J. Manpower Requirement

81. The Nanming River Watershed Management Project Phase 2 Stage 2 has employed a total of 1,233 workers during construction phase and is estimated to have 57 staff in total when in full operation. Details of the manpower for construction and operation of each subproject are presented in Table VI-1 and Table VI-2, Section VI of this IESE.

22 K. Implementation Arrangement

82. The main construction contractors for the Nanming River Watershed Management Project Phase 2 Stage 2 are China Railway No. 5 Engineering Group Co., Ltd, (中铁五局集团有限司 ), China Railway No. 8 Engineering Group Co., Ltd (中 铁 局 集 团 有 限 司), and Hunan No. 3 Engineering Co., Ltd. (湖南省第三工程有限司 ). During the construction phase, CWE employs a third party contractor, Chengdu Municipal Construction Supervision Co., Ltd. (成都市市政建设 监理有限司 ), which is responsible for construction supervision, IEE/EMP implementation, and safety inspection. The third party contractor monitors the construction progress and ensures that the mitigation measures specified in the EIA reports are implemented. A monthly construction monitoring report is also prepared by the third party contractor to document the project’s status of compliance with relevant health and safety requirements and standards. 83. During the operation phase, CWE will conduct regular environmental monitoring. Details of the environmental monitoring plan are presented in

23 84. Table ESMP-3, Attachment 1 of this IESE. In addition, regular trainings will also be provided to site staff to ensure compliance with the E&S safeguard requirements.

24 V.DESCRIPTION OF ENVIRONMENT AND SOCIAL CONDITIONS

A. Environmental Setting

85. Hydrology and Water Resources. Nanming River, a branch of the Wu River, is the largest urban river in Guizhou Province. Nanming River covers an area from 26°11’ to 26°40’N and 106°27’ to 107°03’E as shown in Figure V-1. It is approximately 118 km long, and its major source is the Wu River catchment area, which is one of the biggest tributaries of the Yangtze River. Nanming River flows into Guiyang City from Zhongcao Village of Huaxi District, then crosses from the southwest to the northeast section of the city (Nanming District and Yunyan District). The river water eventually flows into Qinshui River by merging with the Dumu River. Within these regions, there are two large water reservoirs, Huaxi and Aha, which are the main water supply resources for Guiyang City.

Figure V-1 Nanming River and Its Watersheds5

86. The Huaxi Reservoir at the Huaxi section on the upstream of Nanming River, constructed in 1958, has a water area of 2.2 km2 and a storage capacity of approximately 31.4 x 106 m3. The Reservoir is 51.6m at its highest point with concrete solid gravity dam and an impounded water level of 1,140m. In 2002, the Reservoir was modified to improve the overflow spillway and construct new flood discharge channels, dam safety monitoring facilities and other supportive works. The design standard for flood control is for resisting flood once in a hundred years with a calibrated water level against flood once in a thousand years. The Huaxi Reservoir executes Glass II Standard of GB3838-2002, Environmental Quality Standards for Surface Water, providing municipal water supply as well as electricity from hydroelectric power for Guiyang City. 87. The Aha Reservoir, located on the upper reaches of Xiaoche River, has a water area of 20 km 2 and a storage capacity of 54.2 x 106 m3. The Reservoir was initially impounded in 1958 and the impounded area was enlarged in 1982. The average depth of the Reservoir is 13m and the maximum depth is 24m. It is designed to resist flood once in a hundred years with a calibrated water level against flood once in a thousand years. As one of the major drinking water source for

5 Mostofa, Khan M. G., et al. 2010. Characterization of Nanming River (Southwestern China) Sewerage-Impacted Pollution using an Excitation-Emission Matrix and PARAFAC. Limnology (11): 217-231.

25 the Guiyang City, the total area of the watershed is about 180 km2, in which 10.85 km2 are within the Class I Water Source Protection Area and 81.18 km2 within the Class II Water Source Protection Area.

88. Project Area. The Guiyang City is located in the middle of mountain basin, a catchment for surface and ground water. Both surface and ground water flow mainly from north and south to the center of the basin. The pre-existing drainage system in urban areas are natural gullies, which are gradually refurbished along with the development of other urban infrastructure. The Project mainly involves the Nanming River Basin, including Shixi River, Xiaowan River, Maijia River, and Huaxi River. 89. As one of the tributaries of the Nanming River, Shixi River flows from the western suburbs into the Guiyang City and passes through the Yunyan and Nanming District. Shixi River is 12km long with a catchment area of 36km2. In accordance with the Classification of Environmental Function of Surface Waters in Guiyang City, issued by the Guiyang People’s Government in 1996, Shixi River is classified as Class IV Waterbody. Within the Yunyan District, the treated wastewater from Jinyang WWTP and surface runoff collected by the Liyu Channel are discharged to the Shixi River. As shown in Figure V-2, the Jinyang WWTP discharge channel connects to the upstream of Shixi River via the Yangliuchong drainage pipeline, whereas Liyu Channel is connected to the downstream of Shixi River.

Source: Feasibility Study Report of Liyu Channel Interception Project, 2016.

Figure V-2 Shixi River, Jinyang WWTP and Yangliuchong Discharge Pipeline, and Liyu Channel

90. Xiaowan River, located 20m south of the JInyang WWTP, is the main tributary of Aha Reservoir. It originates from the Shangzhai Village in Yunyan District, flowing from north to the southeastern region of the District. The total length of Xiaowan River is 19.7km with a catchment area of 54.7 km2. It is classified as Class III Waterbody. 91. The Jinbai WWTP has a service area of approximately 6,466 hectares, which include the Maixi River Basin, Nanmen River Basen, and Maijia River Basin. The Jinbai WWTP, within the Guangshanhu District, is located 5km away from the Aha Reservoir and 3km from the Baihua Lake. Both Aha Reservoir and Baihua Lake are Class II Water Source Protection Area. As shown

26 in Figure V-3, the tail water from Jinbai WWTP is discharged into Maijia River to protect the drinking water quality of Aha Reservoir and Baihua Lake. Maijia River, a tributary of Maotiao River, is 23.6km long and has a catchment area of 171 km2. It is classified as Class III Waterbody.

Source: EIA Report of Jinbai WWTP, 2017.

Figure V-3 Jinbai WWTP, Baihua Lake, and Maijia River

92. The Huaxi River Water Environment Integrated Management Project involves the Huaxi River, covering 13.95km of the river and a project area of 2,752.2 hectares, which runs from the Huaxi Reservoir to the Sanjiangkou section. Layout of the Huaxi River Integrated Management Project is provided in Figure V-4. Huaxi River is classified as Class II Waterbody.

27

Source: EIA Report of Huaxi River Water Environment Integrated Project, 2017.

Figure V-4 Layout of the Huaxi River Water Environment Integrated Project

B. Physical Environment of the Project Site

93. Environmental baseline monitoring was conducted for each DEIA. Details of the baseline environment, including surface water, groundwater, air, and noise are outlined in the following sections.

94. Surface water quality. Baseline water quality data along the Nanming River and its tributaries, including Shixi River, Xiaowan River, Maijia River and Huaxi River, were retrieved from Guiyang City Environmental Monitoring Center and Guizhou Environmental Science Research Design Institute. Additional data was collected from four locations within the Huaxi River. Sampling and analysis were conducted according to Technical Specifications Requirements for Monitoring of Surface Water and Wastewater (HJ/T91-2002) and Surface Water Quality Standard (GB3838- 2002). The results of the water quality data are shown in Table V-1. 95. The subproject locations and their respective monitoring points are shown in Figure V-5, Figure V-6 and Figure V-7. 96. Based on the DEIAs, key findings of the water quality data include:

• For the Shixi River, BOD, TP, NH3-N and fecal coliforms exceed Class IV requirements of GB3838-2002. The exceedance of surface water quality standards are mainly due to insufficient treatment capacity of the Jinyang WWTP Phase 1, which led to the release of untreated sewage to the Shixi River.

• Xiaowan River also fails to comply with Class III requirements of GB3838-2002. As the coverage of the interceptor system at the Xiaowan River is inadequate, domestic sewage and industrial wastewater in some areas are directly discharge to the River, thereby causing the COD, TP, NH3-N and oil content to exceed the PRC standards.

28 • For the Maijia River, data collected in July 2014 indicates that the NH3-N and fecal coliforms exceed Class III requirements of GB3838-2002. The exceedance is mainly due to the lack of interceptor channel at the River, in which the stormwater runoff is directly discharged to the River. However, another water quality data was collected at a different location in May 2015, which shows improvements in the surface water quality of Maijia River. The water samples from the Maijia River, 1500m downstream from the Zhangchong Dam, comply with the PRC standards.

• For the water quality samples collected in January 2015 and July 2016, COD, TP, NH3-N and fecal coliforms in all monitoring locations along the Huaxi River exceed Class II requirements of GB3838-2002. Another water samples collected from the Huaxi Bridge section in February 2017 meet the Class II requirements. By comparing the data collected between 2015 and 2017, the surface water quality of Huaxi River has improved over the years.

29 Table V-1 Baseline Surface Water Quality Sampling and Water Quality Standards

Monitoring Parameters (mg/L) Area Date Location/Section pH BOD5 COD NH3-N TP SS DO TPH KMnO4 Fecal coliforms JINYANG Wastewater Treatment Plant Phase 2 Shixi River Erqiao section 2013.8.7 7.89 13 28 10.3 0.83 - - - 7.10 24,000 2014.1.10 7.59 3.63 20 6.74 0.47 - - 0.14 5.30 5,400 Yangguan Ave. Xiaowan River 2014.1.11 7.56 3.72 4 7.90 0.63 - - 0.14 5.20 9,200 Section 2014.1.12 7.58 3.66 20 8.31 0.55 - - 0.11 4.80 9,200 JINBAI Wastewater Treatment Plant 500m upstream 2014.7.22 - 3.70 16.6 3.42 0.19 41 5.42 0.026 4.28 16,000 from discharge of 2014.7.23 - 3.90 16.4 3.65 0.16 39 5.81 0.032 4.18 ≥ 24,000 Maijia WWTP 2014.7.24 - 3.80 17.2 3.50 0.17 43 5.67 0.033 4.13 Maijia River ≥ 24,000 1,500m 2015.5.9 7.12 3.90 19.5 0.621 0.07 18 - 0.02 5.54 - downstream from 2015.5.10 7.30 3.70 18.7 0.616 0.06 20 - 0.02 5.37 - Changchong Dam 2015.5.11 7.24 3.80 19.0 0.608 0.07 17 - 0.01 5.49 - Huaxi River Water Environment Integrated Management Project 2015.1.19 - - 10.3 0.38 0.20 11.8 - - - - Outlet of Huaxi 2015.1.20 - - 12.4 0.51 0.27 10.5 - - - - Reservoir 2015.1.21 - - 12.8 0.37 0.26 10.4 - - - - 2015.1.14 - - 14.3 0.94 0.42 13.3 - - - - 2015.1.15 - - 15.8 1.30 0.31 15.2 - - - - Huaxi Bridge 2015.1.20 - - 13.7 0.75 0.25 11.6 - - - - 2017.2.3 8.21 2 14 0.38 0.04 - - 0.01 1.9 790 2017.2.4 8.28 3 14 0.39 0.03 - - 0.01 1.8 940 2015.1.19 - - 46.6 11.9 0.83 10.5 - - - - Yangniu Channel 2015.1.20 - - 59.6 13.4 0.84 12.7 - - - - 2015.1.21 - - 43.6 9.53 0.94 17.7 - - - - 2015.1.19 - - 11.6 0.22 0.17 11.5 - - - - Huaxi Park 2015.1.20 - - 10.7 0.26 0.24 11.3 - - - - Huaxi River entrance 2015.1.21 - - 10.9 0.28 0.23 12.8 - - - - 2015.1.19 - - 10.6 0.95 0.17 11.2 - - - - Qinghua Secondary 2015.1.20 - - 13.0 0.87 0.34 10.4 - - - - 2015.1.21 - - 10.9 0.77 0.32 12.2 - - - - 2015.1.19 - - 10.8 1.53 0.38 22.8 - - - - Inlet of Shilihe 2015.1.20 - - 14.5 1.54 0.37 21.6 - - - - Beach 2015.1.21 - - 16.2 1.24 0.36 23.7 - - - - 2015.1.19 - - 13.9 0.65 0.22 10.6 - - - - Outlet of Shilihe 2015.1.20 - - 15.3 0.71 0.38 10.9 - - - - Beach 2015.1.21 - - 16.1 0.58 0.40 14.1 - - - - 2015.1.19 - - 14.2 0.56 0.23 12.1 - - - - Confucian Center 2015.1.20 - - 10.2 0.36 0.43 11.8 - - - - 2015.1.21 - - 15.8 0.57 0.35 14.3 - - - -

30 Monitoring Parameters (mg/L) Area Date Location/Section pH BOD5 COD NH3-N TP SS DO TPH KMnO4 Fecal coliforms 2015.1.19 - - 10.7 0.21 0.23 10.6 - - - - Inlet of Zhongcaosi 2015.1.20 - - 8.7 0.26 0.20 10.9 - - - - Water Supply Plant 2015.1.21 - - 8.9 0.28 0.20 14.1 - - - - 2015.1.19 - - 11.9 0.37 0.24 29.7 - - - - Yaochang Bridge 2015.1.20 - - 10.3 0.54 0.23 27.8 - - - - 2015.1.21 - - 12.1 0.46 0.24 31.6 - - - - 2015.1.19 - - 13.4 0.62 0.25 18.5 - - - - Sanjiangkou Dam 2015.1.20 - - 13.6 0.93 0.32 20.3 - - - - 2015.1.21 - - 11.4 0.80 0.39 25.4 - - - - 2016.7.6 7.56 2.0 < 10 0.045 0.04 10 - 0.01 1.62 16,000 Huaxi River Guest house 2016.7.7 7.43 1.8 < 10 0.050 0.05 8 - 0.01 1.63 9,200 2016.7.8 7.83 1.7 < 10 0.045 0.03 10 - 0.01 1.59 16,000 2016.7.6 7.42 2.2 < 10 0.050 0.03 9 - 0.01 1.69 9,200 Huaxi Park 2016.7.7 7.36 2.3 < 10 0.056 0.04 11 - 0.01 1.75 9,200 2016.7.8 7.56 1.8 < 10 0.050 0.03 10 - 0.01 1.70 5,400 2016.7.6 7.11 1.8 < 10 0.062 0.03 11 - 0.01 1.66 16,000 Shilihe Beach 2016.7.7 7.24 2.0 < 10 0.067 0.04 12 - 0.01 1.68 9,200 2016.7.8 7.15 2.0 < 10 0.073 0.04 10 - 0.01 1.77 16,000 2016.7.6 7.56 1.9 < 10 0.045 0.03 9 - 0.01 1.73 9,200 Sanjiangkou 2016.7.7 7.35 1.8 < 10 0.056 0.04 10 - 0.01 1.74 16,000 2016.7.8 7.73 2.1 < 10 0.050 0.03 7 - 0.01 1.83 9,200 Class II of GB3838-2002 6 – 9 3 15 0.5 0.1 - 6 0.05 4 2,000 Class III of GB3838-2002 6 – 9 4 20 1.0 0.2 - 5 0.05 6 10,000 Class IV of GB3838-2002 6 – 9 6 30 1.5 0.3 - 3 0.5 10 20,000

31

Source: www.tianditu.com, 2018.

Figure V-5 Location of Jinyang WWTP Phase 2 and its respective monitoring points

Source: www.tianditu.com, 2018.

Figure V-6 Location of Jinbai WWTP and its respective monitoring points

32

Source: www.tianditu.com, 2018.

Figure V-7 Location of Huaxi River Water Environment Integrated Management Project and its respective monitoring points 97. Groundwater quality. In accordance with the project classification in Appendix A of Technical guidelines for environmental impact assessment – groundwater environment (HJ610-2016), all of the subprojects are classified as Class IV Project, in which environmental impact assessment of the groundwater environment is not required. Although baseline monitoring of the groundwater quality in the Project Area is not conducted, the Project follows Class III requirements of GB14848-93.

98. Air quality. Air quality monitoring was conducted over seven days at five sensitive receptors in the Project Area. There are no significant industrial developments or other emission sources within the sampling locations, and the daily average concentration of SO2, NO2, PM10, and TSP all meet Class II requirements of GB3095-2012, Ambient Air Quality Standards. The baseline air quality sampling data are summarized in Table V-2. In addition, several DEIAs had used the annual average ambient air quality reported in the 2014 and 2015 Guiyang City Environmental Quality Bulletin as the baseline air quality. The 2014 and 2015 annual average ambient quality of the city is presented in Table V-3. Out of the six monitoring parameters, PM10 and PM2.5 exceed the Class II requirements.

33 Table V-2 Baseline Air Quality Sampling and Air Quality Standards

Parameter Monitoring Distance from Date SO2 NO2 PM10 TSP Location project location 24-hour average (mg/m3) Jinyang Wastewater Treatment Plant Phase 2 2014.7.18 0.018 0.018 0.047 0.11 Yanghui Village 2.5 km – – – – – 2014.7.24 0.021 0.020 0.058 0.12 Jinbai Wastewater Treatment Plant 2015.6.25 0.015 0.018 0.065 Wangjia Village 4.7 km – – – – - 2015.7.1 0.024 0.026 0.082 Huaxi River Water Environment Integrated Management Project 2016.7.4 0.10 0.008 Huaxi Park – – – - - Within Project 2016.7.10 0.52 0.027 Site 2016.7.4 0.008 0.009 Shilihe Beach – – – - - 2016.7.10 0.028 0.029 Class II of GB3095-2012 0.15 0.08 0.15 0.30

Table V-3 Annual Average Ambient Air Quality (2016)

Annual Average Parameter Unit Class II of GB3095-2012 2014 2015 3 SO2 µg/m 24 17 60 3 NO2 µg/m 31 28 40 3 PM10 µg/m 73 61 70 3 PM2.5 µg/m 48 39 35 a 3 O3 µg/m 103 120 160 CO b mg/m3 1.3 1.1 4 Note: a th Value reported is the 90 percentile of the maximum 8-hour average O3 concentration. b Value reported is the 95th percentile of the 24-hour average CO concentration.

99. Noise. Ambient noise sampling was conducted at six sensitive receptors across the Project area within the Huaxi District. Following GB3096-2008, Environmental quality standard for noise, the noise measurements were taken once in the day and once at night on two consecutive days. Results of the noise sampling are presented in Table V-4. The 2014 and 2015 noise level reported in the Guiyang City Environmental Quality Bulletin were also used as the baseline noise quality. Sampling results show that the noise at the sampling sites during both daytime and nighttime met the Class II requirements for GB3096-2008 except for the location of Huaxi Park, where minor exceedance was recorded during daytime.

Table V-4 Baseline Noise Sampling and Noise Standards

Monitored Leq (dB(A)) Class II of No. Monitoring Location 2016.7.7 2016.7.8 GB3096-2008 Day Night Day Night Day Night N1 Huaxi Guest House 52.4 42.1 50.4 44.1 60 50 N2 Huaxi Park 60.5 49.9 56.9 49.4 60 50 N3 Qinghua Secondary 58.6 48.6 58.1 49.3 60 50 N4 Shilihe Beach 52.5 43.8 52.5 41.4 60 50 N5 Yangniu Village 52.8 44.4 53.3 44.0 60 50 N6 Sanjiangkou 53.2 44.7 53.2 41.3 60 50 2014 annual noise level 59.0 60 - 2015 annual noise level 58.9 60 - C. Ecological Resources

100. Regional habitats and vegetation. Guiyang City is endowed with ranges of mountains and deep values, and also has rich and diverse plant resources, including evergreen broad-leaved forest, evergreen deciduous broad-leaved forest, deciduous broad-leaved forest, coniferous forest, Pinus massamiana forest, shrubbery, and shrub grassland. The forest coverage rate of Guiyang City has reached 46.5 percent in 2016 with more than 270,000 mu (approximately 18,000 hectares) planted with trees and plants.

34 101. Project area habitats and vegetation. Surveys undertaken for the DEIA recorded six habitat types from the Huaxi District, as summarized in Table V-5. In general, there were 426 species (including variants) of vascular plants, which belonged to 103 families and 320 genera. The composition of plant species is shown in Table V-6. No species of conservation significance or trees of high amenity value were recorded from the Project Area.

Table V-5 Habitat Types Recorded from the Project Area (Huaxi District)

Habitat Coverage (%) Description Forest mainly consists of pine (Pinus massoniana) and cypress Evergreen coniferous forest 9.94 (Cupressus funebris) Tree communities include Rhus chinensis, Broussonetia Terrestrial scrubland 19.46 papyrifera, Pyracantha fortuneana, Coriaria sinica, Quercus fabri, and Castanea seguinii Phragmites australis, which is large perennial grasses Wetland 9.53 commonly found in wetlands Agricultural land 10.18 Terrestrial herbaceous crops Territorial waters 7.30 Lakes and canals Developed area 43.60 Includes village housing, roads, etc.

Table V-6 Statistical Evaluation of Vascular Plants from the Project Area

Plant Group No. of Families No. of Genera No. of Species (including Variants) Ferns 15 19 26 Gymnosperms 6 11 15 Angiosperms 82 290 385 Total 103 320 426

102. Regional wildlife. The Guiyang City Ecological Civilization Committee reported a total of 419 wildlife species from the Guiyang City. One species of first class national protected animal, Ciconia nigra, and 38 species of second class national protected animal were identified.

103. Project area wildlife. Terrestrial wildlife from the Project area reported in the DEIA includes 8 species of amphibian, 5 species of reptiles, 50 species of bird, and 8 species of mammals. Among them, three species are second class national protected animal, which are Milvus korschun, Falco tinnunculus, and Glaucidium cuculoides. Sixteen species are also Guizhou Provincial level protected animals. The IUCN status of each species is presented in Attachment 8. 104. The DEIA also recorded aquatic wildlife from the Huaxi River. These comprises 5 orders and 10 families of fishes, mostly Cypriniformes orders and Cyprinidae families fishes, including Misgurnus anguillicaudatus, Myloohar yngodon piceus, Ctenophar yngodon idellus, Opsariichthys bidens, Hemiculter leucisculus, Parabramis pekinensis, Aristichys nobilis, Hypophthalmichthys molitrix, H. maculatus, Pseudorasbora parva, Sarcocheilichthys nigripinnis, Abbottina rivularis, Barbodes sinensis, Acrossocheilus yunnanensis, V.sima, Folifer brevifilis, Semilabeo prochilus, Sinilabeo rendahli, Cyprinus carpio haematopterus, Carassius auratus, Cyprinus multitaeniate, Aphyocypris chinensisi, Culter erythropterus, Pseudohemiculter kweichowensis, and Rhodus ocellatus. There are also Stluriformes, Cypprinodonyiformes, Synbranchiformes, Perciformes, and other fish species. In addition, there are also some aquatic wildlife with high amenity values identified from the Project Area, including V.sima, Acrossocheilus yunnanensis, and Pseudogyrincheilus procheilus. 105. Mean density and biomass of benthic animals in the Huaxi River was 0.869 g/m2. The composition of benthic animals were 24.2% of mollusks, 33.3% of arthropods, and 42.4% of annelids. D. Protected Areas and Physical Cultural Resources

106. Huaxi Park. The Guiyang Huaxi Park covers 350.5 km2 in total and is located in the south suburb of Guiyang City. The park was originally built in 1787 during the Qing Dynasty. It was modified into a park in 1930s. Unlike man-made parks, the stream and the four hills in the Huaxi Park are all naturally formed. The park includes several bridges, pavilions, towers and gardens, in which some of them have historical significance, such as the General Dai Anlan Memorial Cemetery, Linshan Cliff Carved Stone, and Ma’an Bridge.

35

Source: EIA Report of Huaxi River Water Environment Integrated Project, 2017.

Figure V-8 Location of Huaxi Park in Relation to the Project

E. Socio-Economic Conditions

107. Guiyang City, the capital city of Guizhou Province, is located in the central part of the province. The city has an elevation of about 1,100m and an area of 8,034km2. Based on the 2016 Guiyang Statistical Yearbook, Guiyang City has a population of 3.9 million. 108. The entire Guiyang municipality consists of six districts, one county-level city and three counties. The districts are Nanming, Yunyan, Huaxi, Wudang, Baiyun and Guanshanhu. The county-city is Qingzhen, and the counties are Kaiyang, Xifeng and Xiuwen. Table V-7 below shows a summary of the total land and demographic profile of Guiyang City.

Table V-7 Land of Population (2015) of Guiyang City

Area Total Population (in 10 thousands) Population Density Location (km2) Households Urban Rural Total (person/km2) Nanming District 209 41,502 55.27 2.59 57.86 2,733.65 Yunyan District 94 22,469 62.90 - 62.90 6,858.39 Huaxi District 958 12,694 33.52 16.75 50.27 516.29 Wudang District 686 19,451 11.44 9.29 20.74 299.09 Baiyun District 260 20,899 17.71 2.40 20.11 738.68 Guanshanhu District 307 20,238 18.31 5.97 24.28 755.47 Kaiyang County 2,026 74,693 16.33 28.69 45.02 220.96 Xifeng County 1,037 52,926 8.55 18.34 26.89 256.61 Xiuwen County 1,076 45,126 9.80 22.06 31.86 292.61 Qinzhen County-City 1,381 71,824 15.61 36.25 51.86 369.67 Note Demographic data refer to registered population. Data Source: 2016 Guiyang Statistical Yearbook.

109. Economic Profile. Because of its special location, Guiyang is an important traffic hub in southwestern region in China, as well as a comprehensive industrial base and scenic spot. Guiyang consists of an extensive network of roads and railways with the national Highway 322 and 210 going across the whole city and express railways connecting Guizhou to Sichuang, Hunan, Kunming and Guangxi. Guiyang serves as a communication hinge and provides passage from northwestern region to southern region of the country.

36 110. Rich mineral and energy resources have laid good foundations for the industrial development in Guiyang. However, in the recent years, the City intensifies its work on reform and diversify the economy. Other than continuous development in the traditional industrial and service industries, high-tech industry has been introduced into Guiyang. With strong incentives from the Central Government to connect the coastal and inland regions and infrastructure investment related to the One Belt, One Road Initiative, Guiyang has been benefiting as multinational corporations such as Microsoft, Hyundai Motor, Wal-Mart, Huawei, and Alibaba have opened offices in Guiyang due to tax incentives and government supports. 111. In 2015, Guiyang has a GDP of CNY 289.1 billion (approximately US$44.36 billion), which is 12.5 percent higher than the previous year. The GDP composition ratio for the primary, secondary, and tertiary sectors were 4.5%, 38.3%, and 24.7% respectively. The GDP per capita in the same year was CNY 63,003. Because of its outstanding economic growth, Guiyang was ranked as the best performing city among the first and second tier cities by Milken Institute. In addition, because of the rich water resources, Guiyang is one of the ten hydroelectric power bases in the country. 112. The average annual salary for Guiyang is CNY 63,949 in 2015, which has increased by 7.8% comparing to previous year. Table V-8 summarizes the economic profile and performance in various economic indicators for each district/county of Guiyang City.

Table V-8 Economic Performance in Guiyang City

Location GDP Per Growth Rate Primary Secondary Tertiary Capita (CNY) (%) Industry (%) Industry (%) Industry (%) Nanming District 69,246 12.0 6.0 18.0 11.7 Yunyan District 65,443 12.6 6.0 11.8 13.0 Huaxi District 77,635 11.4 6.4 11.2 15.2 Wudang District 61,247 14.3 6.4 19.8 11.0 Baiyun District 64,516 13.9 6.6 16.9 13.6 Guanshanhu District 62,791 8.2 6.2 20.6 9.9 Kaiyang County 51,085 14.6 6.5 20.5 9.6 Xifeng County 66,989 13.9 6.6 16.5 15.3 Xiuwen County 53,000 13.4 6.7 16.0 16.2 Qinzhen County-City 53,604 13.2 6.5 18.1 11.8 Data Source: 2016 Guiyang Statistical Yearbook.

113. Project Affected Communities. The Project directly affects 6 villages in 3 districts of Guiyang City, as presented in Table V-9. Table V-9 Project Affected Communities No Subproject District Village 1 Jinyang Wastewater Treatment Plant Phase 2 Guanshanhu Jinya 2 Jinbai Wastewater Treatment Plant Guanshanhu Changchong Zhuchang Douguan 3 Nanming River Riverbank Interception Wudang Xinzhuang Channels and Grit Chamber 4 Guiyang City Huaxi River Water Environment Huaxi Luoping Integrated Management Project

114. Land Use. According to the 2nd National Land Survey (2009), the total land area of Guiyang is 12,065,049 mu. Cultivated land is 4,107,459.9 mu, accounting for 34.04% of the total land. 95% of the cultivated land is located in the Kaiyang County, Xifeng County, Xiuwen County, Qinzhen County-City, Huaxi District and Wudang District.

Table V-10 Land Use in Guiyang City No Type of land Area (mu) Percentage 1 Cultivated land 4,107,459.9 34.04% 2 Garden land 187,272 1.55% 3 Forest land 5,119,257.3 42.43% 4 Grass land 869,598 7.21% 5 Urban villages and industrial and mining land 730,855.8 6.06%

37 6 Transportation land 162,642.15 1.35% 7 Water area and water conservancy facilities 279,169.95 2.31% land 8 Other land 608,793.9 5.05% Total 12,065,049 100.00% Data Source: Guiyang Land Resource Bureau.

115. The per capita cultivated land holding in the 3 affected districts are all lower than the national and provincial level. Especially for Guanshanhu District, due to the rapid urbanization, large scale of land acquisition has been conducted.

Table V-11 Cultivated Land Distribution in the Affected Districts No District Cultivated Per capita Per capita Per capita Cultivated land Cultivated land Cultivated land land holding of holding holding of PRC Guiyang City 1 Wudang 88,108 0.88 1.52 1.14 2 Huaxi 530,512.5 1.1 3 Guanshanhu* 35,950 0.4 Data Source: Guiyang Land Resource Bureau. *based on rural population.

116. Livelihood and Income. As presented in Table V-12, the disposable income of urban and rural resident in the 3 affected districts is higher than the provincial level. Especially for the rural residents, their income is nearly 170% of the provincial level due the contribution of the non- agricultural activities. Table V-12 Income Level of 3 Affected Districts

District Disposable income of Disposable income of Urban resident rural resident Guizhou Province 26,742.62 8,090.28 Wudang 28,673 14,567 Huaxi 28,874 13,463 Guanshanhu 29,124 14,416 Data Source: district government’s website.

117. As presented in Table V-13, for rural residents in 2016, net income from operation is only 32.4%, which includes the direct income from agricultural activities, small business and other income from operation. Interviews with in the affected villagers verified that on average the agricultural income before land acquisition was less than 10% of the total income of the AHs. The young people prefer to go out to work in the coast provinces or Guiyang City, and only the older people are farming on the land for own consumption. Due to the good location, people can easily find jobs in Guiyang City. Table V-13 Income Source of Residents in Guiyang (2016)

No Item Rural Percentage Urban Percentage 1 Wage income 7,617 58.7% 17,696 60.0% 2 Net income from operation 4,196 32.4% 2,511 8.5% 3 Net income of property 344 2.7% 2,720 9.2% 4 Transfer income 810 6.2% 6,575 22.3% Total 12,967 100.00% 29,502 100.00% Data Source: Guiyang 2016 Yearbook. F. Existing and Predicted Climate Change

118. Existing Climate. With a low altitude and high elevation geographical location, Guiyang City has a humid subtropical climate, where average monthly relative humidity is consistently above 75% throughout the year. It also has cool winters and moderate-temperature summers. The monthly 24-hour average temperature ranges from 5.1°C in January to 23.9°C in July, while the annual mean temperature is 15.35°C. Rain is common throughout the year with occasional flurries in

38 winter. Guiyang City has an annual rainfall of 1,117 mm, in which the wet season extends from May to October, and more than 70% of the annual precipitation occurs during this time. Due to unbalanced rainfall among the seasons, drought or waterlogging often occurs. The average monthly temperature and rainfall for Guiyang City are presented in Figure V-9.

Figure V-9 Mean Annual Rainfall and Temperature for Guiyang City (1991 – 2015)6

119. Observed Climate Change. In the past 50 years, the temperature in Southwest China has increased gradually with a rate of warming of 0.33°C/10a. For the Yunnan-Guizhou Plateau, the magnitude of temperature variation in spring is 0.13°C/10a. As shown in Figure V-10, the temperature in spring showed a trend of fluctuating downward from the end of 1980s to beginning of 1990s. Meanwhile, the summer temperature increases at a rate of 0.04°C/10a. The temperature in summer showed a wavelike decrease in the 1960s, then increased from 1970s to the mid of 1980, and a slow decline followed by a rise from 21st century. The temperature variation in autumn is 0.26°C/10a. The autumn temperature decreased slowly before the mid of 1970s, then was on a continuous rise afterward. The variation of temperature in winter is 0.19°C/10a, and has maintained a steady rise throughout the years. 120. The precipitation of Southwestern China showed a slow declining trend for the past 50 years. The magnitude of changing was -0.006 mm/10a, and was kept stable in 1961 – 1980. The magnitude of precipitation variation in the four seasons were: +0.061 mm/10a (spring), +0.023 mm/10a (summer), -0.077 mm/10a (autumn), and +0.093 mm/10a (winter). As shown in Figure V-11, the precipitation of Yunnan-Guizhou Plateau fluctuated to decline before 1990s and an obvious rise in 1990s, but it fluctuated to decline again after 2000.

6 Climate Change Knowledge Portal, The World Bank Group

39

Figure V-10 Temperature variation in Yunnan-Guizhou Plateau (1960 – 2010)7

Figure V-11 Precipitation variation in Southwestern China and Yunnan-Guizhou Plateau (1960 – 2010)7

121. Temperature and precipitation extremes in the Yunnan-Guizhou Plateau for the past 50 years were analyzed. Both maximum and minimum temperature were on the rise in recent decades, but the magnitude of warming of the minimum temperature was more than that of the maximum temperature. Compared with the temperature extremes, the changes in precipitation extremes are relatively low. Even though the change in extreme precipitation is non-significant, a significant increase of rainy days and frequency of extreme precipitation were observed in the recent years. During planning and design phase of the Project, the selection of sites should consider avoiding locations that are vulnerable to flood, which was taken into account in the Feasibility Study

7 Li, Z. & SpringerLink.2015. Study on climate change in southwestern china. Berlin, Heidelberg: Springer.

40 Report. In addition, warming and precipitation increasing were more apparent in high altitude area.

122. Projected Climate Change. With regards to the changes in global extreme climate, the probability of extreme climate events is expected to increase. In particular, frequent occurrence of geological disaster like mud-rock flow will increase in the Yunnan-Guizhou Plateau due to its high altitude, special geology and hydrology. G. Associated Facilities

123. Wastewater and solid waste management infrastructure servicing the project area that will interface with the project are described in the following sections.

124. Wastewater Infrastructure. Xinzhuang WWTP in the Wudang District as shown in Figure V-12 is associated with the Nanming River Riverbank Interception Channels and Grit Chamber Project.

Source: EIA Report for Nanming River Riverbank Interception Channels and Grit Chamber Project, 2016.

Figure V-12 Location of Xinzhuang WWTP

125. Since the implementation of Nanming River Watershed Management Project in 2012, Phase 1 of Xinzhuang WWTP is constructed with a treatment capacity of 250,000 m3/d. The Xinzhuang WWTP, located in the Dongfeng Town of Wudang District and beside the Nanming River, covers a service area of 148 km2. In 2014, Xinzhuang WWTP Phase 1 was upgraded to comply with Class IA discharge standards, thereby allowing the treated wastewater to be discharged to the Nanming River. In addition, construction of Phase 2 of the Xinzhuang WWTP is well underway. After completion of the Phase 2 Project, the total treatment capacity will increase to 490,000 m3/d.

126. Solid waste management. The solid waste generated in this Project will be disposed of at the Gaoyan Sanitary Landfill. The Gaoyan Sanitary Landfill has been built to dispose the domestic waste of Nanming, Yunyan and Wudan District. Located in the Dongfeng Town in the northeastern suburbs of Guiyang as shown in Figure V-13, the Gaoyan Sanitary Landfill began operation in 2001. It covers an area of 97 hectares with a total storage capacity of 19.8 million m3, and has a service duration of 31 years. 127. In 2016, Gaoyan Sanitary Landfill was upgraded to incorporate magnetic separator and waste sorters for recovering ferrous metals and recyclables items from the waste stream. The solid waste then passes through an organic extrusion press to segregate organic / wet fraction and inorganic / dry faction of the waste stream. The organic fraction is anaerobically digested afterwards to generate biogas, and the sludge from the anaerobic digestion is further processed

41 to produce biosolids for subsequent land application. The remaining waste is also compressed, which significantly reduces the volume of waste to be disposed of in the landfill. 128. The current waste intake at Gaoyan Sanitary Landfill is approximately 2,200 tons/day (~ 803,000 tons/year). Based on the estimated waste generation rates in the DEIAs, the waste generated from this Project, including sludge and grit from wastewater treatment process and general refuse, are expected to be 9,300 tons/year, which contributes to about 1.2% of the annual waste disposal quantity at the landfill.

Source: tianditu.com, 2018.

Figure V-13 Location of Gaoyan Sanitary Landfill

42 VI.ANTICIPATED ENVIRONMENTAL AND SOCIAL IMPACTS AND MITIGATION MEASURES

A. Design and Planning Phase and Avoided Impacts

129. Integrated design and safeguard project planning approach was adopted to avoid potential environmental impacts. The following aspects were assessed during the design and planning phase.

130. Project Benefits. The Project will improve the quality of life in Guiyang and provide benefits to the existing and future populations as described below: (i) Water Quality Improvement: The construction and modification works of Huaxi River and Baihua Lake interception systems will reduce pollutant loads in stormwater runoff from the site; (ii) Enhanced Wastewater Management: New infrastructure will increase the wastewater treatment capacity and improve the wastewater collection system to avoid the release of untreated sewage into the waterbodies; (iii) Environmental Management Strategies: The Project will improve the water quality monitoring for the Nanming River via the implementation of the Nanming River Basin Remote Sensing Monitoring, and Nanming River Biological Survey, Water Quality Monitoring, and Ecological Assessment; and (iv) Landscape Enhancement: Pavement renovations at Huaxi River downstream and reconstruction of drainage system and fixed dams will enhance landscape value and provide social-economic benefits.

131. Additional benefits will include provision of temporary employment for local workers during the construction phase. CWE encourages the civil works contractors to employ workers from the local community. During construction period, 1,233 job opportunities are generated and at least 54% are hired locally. In addition, permanent employment will be available during the operation phase. It is estimated that 57 new staff will be recruited, and 95% will be provided to local people.

Table VI-1 Job Opportunities During Construction Stage

Total No Project Local Female Jobs 1 Jinyang Wastewater Treatment Plant Phase 2 155 80 62 2 Jinbai Wastewater Treatment Plant 180 90 15 3 Huaxi River Water Environment Integrated Management Project 818 443 68 Nanming River Riverbank Interception Channels and Grit Chamber 4 80 57 8 Project Total 1,233 670 153 Percentage 100% 54% 12% Source: CWE HR manager.

Table VI-2 Job Opportunities During Operation Stage

No Project Total Jobs 1 Jinyang Wastewater Treatment Plant Phase 2 20 2 Jinbai Wastewater Treatment Plant 28 3 Huaxi River Water Environment Integrated Management Project 6 4 Nanming River Riverbank Interception Channels and Grit Chamber Project 3 Total 57 Source: FSRs.

132. Site selection. Prior to the construction of new facilities, community health and safety buffer zone was determined by following Technical methods for making local emission standards of air pollutants (GB/T 3840-91). The health protection distance was then used for the establishment of buffer zone for the Project site. 100m buffer zone distance is used for the subproject WWTP. In addition, two potential options for the project site, including new treatment

43 plant locations and pipeline routes, were analyzed to determine the optimal location for the project. In particular, parameters such as land availability, service area coverage, construction complexity, as well as potential environmental and social impacts to the local communities, were used for comparing the two options. Moreover, the following requirements are used for the selection of sites for wastewater treatment facilities: (i) The site should be located at a lower altitude, such that wastewater will flow into the facility by gravitational force, thereby reducing the amount of earthwork along the wastewater collection pipeline and minimizing the numbers of pumping stations required; (ii) The site should be located in the vicinity of waterbody, where the treated wastewater / tail water will be discharged to; (iii) The site should be located at the lower reaches of the town and residential areas (downstream of the dominant wind direction); (iv) Avoid locations that are vulnerable to flood and earthquake; (v) The site should acquire little or no account of farmland, and should be located in areas with better geological condition to reduce construction times and costs; and (vi) Site selection should be combined with the overall planning of the city, in particular the project site should also consider the possibility of expansion.

133. Further description of the assessment of site selection for each subproject are presented in Section VII of this IESE.

134. Land Acquisition and Economic Displacement. The site selection and design of the subproject has been optimized to minimize the LAR impacts. Completed land acquisition and resettlement were carried out by local government in conformity with government laws and regulations. The compensation for permanent land acquisition was in compliance with the PRC’s Land Law, Implementation Regulations of Land Law, and applicable regulations of Guizhou Province and Guiyang City. 135. For land, in addition to the cash compensation, pension system, skill training, and job opportunities were provided to APs. For other affected ground attachments, a qualified agency was engaged to conduct the appraisal first, then the final compensation rates were determined based on the consultation with the affected farmers. 136. Many public participation activities were conducted to address the concerns of the affected households, such as the detailed measurement survey (DMS), the compensation rates, and disbursement of the compensation fees. During DMS, no vulnerable groups were identified.

137. Community Perception. Land acquisition during the planning phase may cause a negative community perception. The Project maintains continuous dialogue with host communities. Complete appeal and grievance system was established to deal with the problems induced by land acquisition, so the APs could find relevant department for their appeal and grievance. The director of the plant is responsible for addressing social and environmental concerns from community and other stakeholders. The nearby village leaders know the contact information of the director. The villagers can state his/her grievance and appeal to village leaders firstly or directly go to the company.

138. Indigenous Peoples. According to the 6th National Population Census (2010), the ethnic minority population in Guiyang City is 0.73 million which is 16.9% of the total resident population of 4.32 million. The main ethnic minority group is Miao, Buyi, Tujia and Yi. They are living together with Han group and not distinct and vulnerable, social and cultural ethnic minority groups. They get married with Han and other groups. They are fully integrated with Han peoples. The ethnic minority people can benefit the same as Han people from environment improvement. ADB SPS SR 3 on Indigenous Peoples is not triggered. Table VI-3 presents the affected ethnic minority HHs. Among the 495 staff in CWE, there are 100 ethnic minority Yi and Miao workers.

44 Table VI-3 Ethnic Minority Households Affected by LAR No Project Number of Number of Group Vulnerable AHs EM AH Group(s)? 1 Jinyang Wastewater Treatment Plant Phase 40 12 Miao and No 2 Buyi 2 Jinbai Wastewater Treatment Plant 151 15 Miao and No Buyi 3 Nanming River Riverbank Interception 15 0 - - Channels and Grit Chamber Project 4 Huaxi River Water Environment Integrated 80 8 Miao and No Management Project Yi

B. Pre-Construction Phase

139. Prior to construction, it is suggested that the following measures shall be implemented: (i) Updating the ESMP. In the event of any changes in Project design, the ESMP will be updated as needed, including mitigation measures and monitoring. This will be the responsibilities by the Project Environmental and Social Manager / Management Team (PESM / PESMT). (ii) Training in environmental management. PESMT will provide training to its employees with respect to the environmental and social issues and impacts of their work activities, CWE’s Environmental and Social Management System (ESMS) and its policies, as well as measures stipulated in the ESMP. (iii) Grievance Redress Mechanism (GRM). The PESMT, in collaboration with the Operation and Production Department, Integrated Management Department and/or Human Resources Department of the Project company, will implement the Project GRM before the start of construction, to ensure that communities are well informed and have the opportunity to discuss any concerns (further to the public consultations described in Section VIII for this IESE). (iv) Contractor obligation. In their bids, contractors will respond to the environmental clauses for contractual terms and ESMP requirements.

140. Employment and Labour. CWE (here refers to the Guiyang Company) strictly follows the China Labour Law with particular attention paid to the well-being of all staff in China. The social benefits provided by CWE to staff members include pension insurance, medical insurance, maternity insurance, unemployment insurance, work injury insurance and a social housing fund.8 Regarding to the social housing fund, CWE pay 12% of the salary, which is the highest rate locally. By now, CWE reported that there is no non-compliance record for it on labour issue in the government. The plant provides free dormitory and shuttle bus to the workers.

141. Maximum hours of work. Labourers shall work for no more than eight hours a day and no more than 44 hours a week on the average. In the plant, the workers are working 4 shifts. Work arrangements are established which follow the China Labour Law.

142. Overtime. CWE pays labourers more wage remunerations than those for normal work according to the following standards in any one of the following cases: (i) Wage payments to laborers no less than 150 percent of their wages if the laborers are asked to work longer hours; (ii) Wage payments to laborers no less than 200 percent of their wages if no rest can be arranged afterwards for the laborers asked to work on days of rest; and (iii) Wage payments to laborers no less than 300 percent of their wages if the laborers are asked to work on legal holidays.

8 Urban residents must pay a portion of their income into Public Housing Fund to be eligible for low-interest loans, while their employers also contribute. Housing provident fund shall be used by workers and staffs for buying, building, overhauling and repairing houses for self-living and shall not be misused by any unit or individuals for other purposes.

45 143. National identification cards are also required in all types of workers to ensure that the projects are not employing children during construction and operations phase. 144. The HR manager confirmed that the lowest wage (1,700 yuan/month) is higher than the minimum wage level of 1,600 yuan/month issued by the Guiyang Labour and Social Security Bureau. The application to increase the lowest wage to 2,000 yuan/moth has been sent to headquarter for approval. 145. According to Article 68 of Labor Law, the employer shall establish a system for professional training, extract and use funds for professional training according to State regulations, and provide laborers with professional training in a planned way and according to its specific conditions. Laborers to be engaged in technical work shall receive training before taking up their posts. CWE has updated the Employee Manual in February 2016 which clearly documented guidelines, procedures and standards for labour management, covering the following aspects: (i) trainee management; (ii) labour contract management; (iii) recruitment management; (iv) benefits management; (v) vacation management; (vi) remuneration management; (vii) regular training management; (viii) training for the new staff and (ix) office management. Every new staff will be given a job training and orientation by their immediate supervisor, including relevant laws, regulations and national standards, corporate culture, special seminars on energy saving and resource reduction, annual work plan arrangement, goal responsibility pledge and its evaluation, etc. Further training would also be given in the form of group discussion and learning activities. Each subproject company needs to prepare the annual training plan, which always covers the operation, environment protection, and occupational health.

146. GRM for labour issues. When the employee has complaints on labour issues, he/she can contact the HR manager at the plant firstly. If the employee is not satisfied with the decision made at the plant level, he/she can appeal to the human resource department of the regional company. If the employee is not satisfied with the decision made at the regional company level, he/she can appeal to the human resource department of the Group. If the grievance cannot be settled within the group, the employee can appeal to the local Labour Bureau to get a final judgment. The HR manager confirmed that there’s no labour dispute by now.

147. Contractors. They must be able to provide proper skill set in order to have their operation and service license. Contractors are required to deposit guarantee fee (2% of the contract amount) in the special bank account of local labour bureau. CWE will also closely monitor their performance and deliverables. CWE encourages the civil works contractors to hire workers from the local community, and would select contractors who have good track records of compliance with the national labour laws (minimum wages, hours worked, benefits, prohibition of child labour and forced labour, etc.). The manager at the site will help and cooperate with inspectors from government bodies to conduct all survey, inspections and monitoring. When CWE receives the complaints from the workers at the site, it will be transferred to the contractor, and CWE will monitor the progress to addressing the complaint by interviewing or calling the worker. 148. The contractors always have the workers camps management rules. The manager of CWE at the site will help and cooperate with inspectors from government bodies to conduct all survey, inspections and monitoring on the following issues: (i) Compliance with the Fire Control Law, such as the gas and electricity should be used safely; (ii) Compliance with the Environment Protection Law, such as the solid waste and waste water should be collected and treated; and (iii) Compliance with the Labor Law, such as separate toilet and bathroom should be set for female workers.

46

Figure VI-1 Workers Camps and Migrant Worker’s School at Jinyang WWTP Phase 2

C. Construction Phase

1. Sensitive Receptors and Project Area of Influence

149. Sensitive receptors for the construction and operation phases of the Project were identified through field survey and satellite map. The planned Project works will be carried out in Guiyang City, specifically in the following districts and counties: Huaxi, Nanming, Yunyan, Wudan, Guanshanhu, and Kaiyang. Table VI-4 below outlines the potential environmental impacts to the identified sensitive receptors within the Project area. Despite the wide range of activities to be conducted in the Project, construction works for most of the subprojects involve similar concerns for earthworks, water quality impacts, air quality impacts, noise control, ecological impacts, and community and occupational health and safety. The following sub-sections further describes the aforesaid concerns as well as the mitigation measures for each impact.

Table VI-4 Sensitive Receptors and Project Area of Influence

Indicator Affected Area Distance and Location Potential Impact Construction Phase Air quality Yunyan District Gaoposhao 180-220m south, 60m north, 130- Construction of Jinyang and noise Village and 290m northwest of the Jinyang WWTP Phase 2 surrounding WWTP neighborhood Guanshanhu Ganchong Village 110m from the Jinbai WWTP Construction of Jinbai District WWTP Residential areas Close to both sides of the Construction of the along Jinzhu West wastewater pipeline and pumping ancillary system for the Road stations Jinbai WWTP Wudan District Chejiazhai Village 150m north of the grit chamber Construction of grit Xinzhung WWTP 10m east of the grit chamber chamber at the downstream of Nanming River and upstream of the Xinzhuang WWTP Huaxi District Residential and • 10-200m north of Huangjin Construction and commercial areas Road pipeline modification works for nearby the Huaxi • 20-200m east and 5-200m the Huaxi River River interception north of the Qinghua interception system system Secondary interception system • 10-300m east and 10-300m west of Luoping Channel interception system • 10-200m north and 10-200m south of Huaxi Road discharge system

47 Indicator Affected Area Distance and Location Potential Impact Surface Yunyan District Shixi River 1.6km east of the Jinyang WWTP Construction of Jinyang Water WWTP Phase 2 Xiaowan River 20m south of the Jinyang WWTP Construction of Jinyang WWTP Phase 2 Aha Reservoir 5.5km north of the Jinyang WWTP Construction of Jinyang WWTP Phase 2 Guanshanhu Maijia River 10m north of the Jinbai WWTP Construction of Jinbai District WWTP Wudan District Nanming River 10m north of the grit chamber Construction of grit chamber at the downstream of Nanming River Huaxi District Huaxi River Sanjiangkou to Huaxi Park Construction and modification works for the Huaxi River interception system Ecology All Project sites • Areas of permanent and Various works resulting temporary land acquisition in direct impacts (e.g. • 200m from the Project sites habitat loss) and boundary indirect impacts (e.g. • Areas covered under Surface noise disturbance) Water Zone of Influence Operation Phase Surface Yunyan, Huaxi Nanming River, Downstream of all the Project Tail water discharged water & Guangshanhu Maijia River sites from the Project sites District Guangshanhu & Liangshuijing Waterbody nearby the wastewater Broken pipeline Huaxi District River, Baihua pipeline Lake, Huaxi River Ground- Guanshanhu - Groundwater within the Project Leaks or improper water District site of Jinbai WWTP discharge of wastewater during operation Ecology All Project sites • Areas of permanent and Works resulting in temporary land acquisition direct and permanent • Areas covered under Surface habitat loss; tail water Water Zone of Influence discharge from the Project sites Note “Nanming River Basin Remote Sensing Monitoring” and “Guiyang City Nanming River Biological Survey, Water Quality Monitoring, and Ecological Assessment” are both components of the Project. Yet, as infrastructure construction and operation would not be required for both components, no sensitive receptors related to these components are identified.

2. Soil and Earthworks

Excavation works and backfill volumes for each subproject were estimated in the DEIA. All soil required for the Project will re-use the excavated soil stored within the construction sites. Table VI-5 below summarizes the estimated quantity of soil excavation, reuse and disposal for projects involving earthworks. All unused stockpiled materials will be properly disposed of at landfill sites.

Table VI-5 Summary of Soil Excavation, Reuse and Disposal

Volume (m3) Project Components Excavation Backfill Import Disposal Jinyang WWTP Phase 2 325,000 12,000 - 313,000 Jinbai WWTP 65,300 59,100 - 6,200 Nanming River Grit Chamber 35,746 7,112 - 28,634 Huaxi River Integrated Project 400,000 130,000 - 270,000

150. Potential soil erosion could occur during construction of the sewage interceptor system, treatment facilities and ancillary system, lake dredging/excavation and embankment, and any instances involved removal of vegetation and soil. To prevent soil erosion, CWE will implement the following mitigation measures:

48 (i) Identify exact locations for temporary stockpile sites for soil and sediment before any construction; (ii) Strip and stockpile topsoil prior to any construction works, and subsequently the stockpiled topsoil will be used for reinstatement of the vegetative cover after completion of the construction works; (iii) Construct berms and drainage channels around the stockpile sites to capture soil runoff; (iv) Stabilize all cut slopes, embankments, and other erosion-prone working areas; and (v) Properly slope or restore disturbed surfaces (e.g. pipeline trenches and cut banks).

3. Water Quality

151. Construction activities may cause short-term and localized impacts to water quality of the nearby waterbody due to runoff from construction site, release of construction process water, lubricant, oil and/or wastewater from construction activities if not managed properly, and sedimentation due to lake dredging. The mitigation measures for each impacts are addressed as follows.

152. Runoff from construction site. Surface runoff from the construction site, including runoff and erosion from site surface, drainage channels, soil stockpiles, and earth working areas, may result in increased loading of sediments and other contaminants, if not properly controlled. To avoid potential water quality impacts from site runoff, the following measures will be implemented: (i) Grit removal facilities (e.g. sand traps, silt traps, and sediment basins) will be stalled to collect sand/sediment runoff from construction sites; (ii) Channel, earth bund or sand bag barriers will be provided to direct stormwater to grit removal facilities; (iii) Construction waste and municipal solid waste generated by onsite workers will be removed from the construction site regularly to prevent waste accumulation and chance of wash-off; and (iv) Exposed soil area and open stockpiles will be covered by tarpaulin during rainstorm.

153. Improper release of fuel, lubricants, solvents and/or wastewater. Wastewater will be produced from the mixing and curing of concrete, maintenance and cleaning of equipment and vehicles, dust suppression activities, discharge of domestic wastewater from construction sites, and used fuel, lubricants, solvents, etc. for construction activities that are stored on-site. The following measures will be implemented to control these potential issues: (i) All wastewater generated from the construction site will undergo treatment at the grit removal facilities for pH adjustment and removal of suspended solids; (ii) The treated wastewater will be reused for construction activities or discharged to public sewer interceptor if the wastewater discharged is in line with Class III requirement of national standards GB8978-1996; (iii) Construction site will not be set up within the Class II Water Source Protection Area to protect the drinking water quality; (iv) Chemicals and solvents used for construction activities will be stored in designated containers at designated safe location; and (v) Dry toilets will be provided for construction workers. Septic tanks will be used to collect and treat the domestic wastewater generated onsite, and will subsequently be discharged to the public sewer interceptor.

154. Channel and stream dredging. The Huaxi River Water Environment Integrated Management Project will involve dredging of tributaries along the Huaxi River, including the Luoping, Yangniu and Dashui Channel Interception Systems, as well as Linshanqiao section to Sanjiangkou section of the Huaxi River. Locations of the dredging areas and temporary stockpiling areas are shown in Figure VI-2. The amount of sludge to be excavated was estimated to be 247,000 m3. Dredging may lead to short-term increase of suspended sediments in the lakes/canals and affect water quality, including increased turbidity and possible release of organic matter and/or contaminants

49 in the dredging area. To minimize potential water quality impacts from the lake and canal dredging, the following measures will be implemented: (i) Temporary diversion barrier (e.g. cofferdams) will be set up to enclose the dredging area, and to avoid contamination of surface water and groundwater downstream of the dredging area; (ii) The dredged sediment will be delivered to a temporary sludge stockpile area for dewatering, and will subsequently be disposed of at designated landfill sites; (iii) Wastewater from the dewatering of dredged sediment will be treated by sedimentation at the grit removal facilities; and (iv) Fully-enclosed vehicles will be used during transfer of the dredged material to the temporary stockpile location at the construction site and also disposal of the dewatered material to the landfill.

Source: Feasibility Study Report of Huaxi River Water Environment Integrated Project, 2017. Figure VI-2 Locations of dredging activities

4. Air Quality

155. Potential air quality impacts during construction of the subprojects include: (i) Dust generated from excavation and material handling, construction of superstructure, installation of wastewater pipeline, pumping stations and treatment facilities; (ii) Pollutants from the exhaust of vehicles and powered mechanical equipment (PME), which include carbon monoxide and nitrogen oxides; and (iii) Odor nuisance from sludge drying sites during lake dredging works.

156. The DEIA for each subproject predicted that area within 150m of the construction sites would be affected by dust pollution with a daily average total suspended particles (TSP) concentration of 0.5mg/m3. For area more than 150m from the pollution source, the TSP concentrations would drop quickly with distance, in compliance with Class II Standard of the ‘Ambient Air Quality Standard’ (GB3095-2012). Furthermore, dust generated from construction and equipment/material delivery vehicles with respect to different distances from the road was predicted in the DEIAs as shown in Table VI-6 below. For a downward wind distance of 20m from

50 the road, the daily TSP concentrations would be near the upper limit of the Class II ‘Ambient Air Quality Standard’, but would gradually decrease with increasing distance from the source.

Table VI-6 Forecast of TSP Concentrations Generated from Transfer Vehicles

Downward wind distance from centerline of the road (m) Forecast 20 40 60 80 100 TSP, daily average (mg/m3) 0.294 0.148 0.110 0.063 0.048

157. To minimize the air pollution impacts on construction sites, the following mitigation measures will be adopted: (i) Spray water on construction site and roads especially where sites are located within 200m of residential areas; (ii) Provision of dust removal equipment and screen shed around construction sites; (iii) Side enclosure and covering of any aggregate or dusty material storage piles by tarpaulin to reduce emissions due to wind erosion, and regular removal of stockpiled materials for proper disposal; (iv) Construction activities likely to generate dust will be suspended during strong windy days; (v) Use of certified PME that satisfied the Class II Standard; (vi) Control dust emission generated from vehicles onsite by: • Set up vehicle wheel and body washing facilities at the entrance and exit points of the construction site; • Trucks transporting excavated soil and rock will not be overloaded to minimize dust emission and avoid rocks dropping out onto open roads; • Tarpaulin covering of all dusty vehicle loads transported to, from and between site locations; • Imposition of speed controls for vehicles driving onsite and when passing the nearby sensitive receptors; (vii) Planning of transport routes and time to avoid busy traffic and densely populated areas when transporting dusty materials; and (viii) Cleanup of all muddy and dusty materials on public roads outside the exits of the work areas.

158. In addition, some of the subprojects will involve dredging to remove sludge in the river and lake, thereby releasing odorous substances such as ammonia and hydrogen sulfide, and creating nuisance to the residents in the neighborhood. To minimize the odor nuisance, sensible planning will be carried out prior to work commences to ensure removal and disposal of sludge appropriately and effectively. Moreover, fully-enclosed vehicles will be used for the transfer of sludge to disposal site to avoid leakage or spillage of odorous material onto open roads. 5. Noise

159. The use of PME and vehicle movements during construction and transportation activities are the potential sources of noise impact during construction phase. In accordance with the Emission Standard of Environment Noise for Boundary of Construction Site (GB 12523-2011), the acceptable noise levels at the boundary of construction site are 70 dB(A) during daytime and 55 dB(A) during night-time. To predict the noise impact from the PME, the following formula is used for determining the sound levels at different distance from the point source as recommended in the Technical Guidelines for Noise Impact Assessment (HJ 2.4-2009):

� � = � − 20�� ( ) Where L2 and L1 are the noise level at r2 and r1 respectively,� dB(A); and r2 and r1 are the distance from the point source, m.

51 160. By using the formula above, the sound levels from various PME at different distances are presented in Table VI-7. Based on the types of PME expected to be used and their power levels, the DEIAs predicted impact distances for each project, which ranges from 30m to 100m during daytime and up to 200m at night time. By using the predicted sound levels at different distances from the construction noise source, the construction noise levels at sensitive receptors in Project Area are summarized in Table VI-8.

Table VI-7 Noise from PME at different distance

Sound Level Predicted sound levels with different distance to the source (dB(A)) Machinery (dB(A)) 15 m 30 m 60 m 120 m 150 m 200 m Weight Carrier 95 73 67 61 55 53 51 Wheel Loader 103 83 77 71 65 63 61 Bulldozer 107 87 81 75 69 67 65 Excavator 89 68 62 56 50 48 46 Mixer 105 85 79 73 67 65 63 Road Grader 108 88 82 76 70 68 66 Spading Machine 110 90 84 78 72 70 68 Note Additional sound attenuation caused by barriers, vegetation, air and earth was not included in above calculation.

Table VI-8 Unmitigated Construction Noise Levels at Sensitive Receptors

Baseline Noise Sensitive Construction Noise Distance Construction Value Standard Receptor Source (m) Noise Day Night Day Night Gaoposhao Jinyang WWTP 180 220 46 70 59.0 50.0 70 55 Village – – Ganchong Village Jinbai WWTP 110 51 – 73 58.9 50.0 70 55 Grit chamber at Nanming Chejiazhai Village 150 48 70 60.0 50.0 70 55 River – Huaxi Guest Huaxi River Project – 10 200 51 83 51.3 43.1 70 55 House Huangjin Road pipeline – – Qinghua Huaxi River Project – 20 200 51 77 58.4 49.0 70 55 Secondary Interception System – – Huaxi River Project Banfu Village – 5 300 47 89 60.0 50.0 70 55 Interception System – – Huaxi River Project Luyuan Village – 10 300 47 83 60.0 50.0 70 55 Interception System – – Huaxi River Project Shangzhai Village – 10 200 51 83 60.0 50.0 70 55 Discharge system – – Note Based on the DEIAs, all sensitive receptors were rated as Class 2 of GB3096-2008.

161. As shown in the tables above, the noise levels at 200m from PME falls within the acceptable limit for noise level at the construction site boundary during daytime. However, many of the sensitive receptors are within 200m distance from the project site boundary, and therefore, the following measures will be implemented in order to comply with PRC Construction Site Noise Limits and protect sensitive receptors: (i) Equipment with high noise and high vibration will not be used near village or township areas. Only low noise machinery or equipment with sound insulation will be employed; (ii) Implement good site practices and carry out proper operation and maintenance of the machinery to minimize construction noise; (iii) Use noise barriers or temporary hoardings to shield off noise sources; (iv) Schedule noisy activities during daytime to minimize exposure of nearby sensitive receptors to high levels of construction noise; (v) Avoid construction during night-time (2200 to 0600). If night-time construction work is required and unavoidable, obtain approval from local EPB and notify nearby residents of such nigh-time construction activities well beforehand; and (vi) Conduct regular noise monitoring at construction sites and sensitive areas.

52 162. In addition, vehicles used during construction and transportation (e.g. concrete mixer truck, dump truck, etc.) were estimated to generate a noise level of 80 – 100 dB(A). To mitigate the noise impact from vehicles, the transport route will be planned beforehand to avoid the sensitive receptors as much as possible. When passing through the sensitive receptors, the speed of vehicle will be below 20 km/hr to minimize the transportation noise. 6. Vibration

163. For this Project, there will be no construction techniques or equipment used (e.g. blasting) that will result in substantial generation of ground vibration. However, mechanical vibration generated from construction activities such as piling, lake excavation, soil compaction, pipeline trenching, and embankment construction may cause nuisance and stress among the workers and nearby communities. To mitigate these issues, damper/shock absorber will be used for high vibration equipment. Moreover, machines that may be in intermittent use will be shut down between work periods or will be throttled down to a minimum. All works will comply with the ‘Standard of Environmental Vibration in Urban Area (GB10070-88)’. 7. Solid Waste

164. Solid waste generated during construction will include construction and demolition material, hazardous waste from construction activities, and refuse generated by construction workers. If not properly disposed of, potential issues such as community health and sanitary problems and contamination of soil and water could arise. The mitigation measure for each type of waste will be addressed as follows.

165. Construction and demolition material. As described in Table VI-5, excavated materials will be cleared and removed regularly, and reused on-site for landscaping/fill or transported off-site for disposal at designated landfill.

166. Hazardous waste. Chemical waste that may arise during the construction works include spent solvents/solutions from equipment operation and cleaning activities, in which the lubricating oil and fuel used for maintaining and powering machinery are classified as HW-08 hazardous waste in accordance to the National Hazardous Waste Inventory (2016). To avoid potential health impact on workers (e.g. accidental ingestion) and fire hazard, this type of waste oil will be collected and stored in closed containers. The container for storing the hazardous wastes will be properly labelled and stored separately to prevent contamination to other waste or stockpiled materials. The waste will be cleared and removed regularly by qualified waste collection companies for proper disposal of the hazardous waste.

167. General refuse. General refuse refers to solid waste generated by construction workers during daily operation. Sufficient rubbish bins or collection area will be provided to maintain the hygiene and tidiness of the work site. The collected waste will be removed at regularly and will be disposed of at nearby landfills. 8. Ecological and Biodiversity

168. The potential ecological impacts arising from the construction works include:

169. Habitat loss & removal of vegetation. Construction works will result in the permanent loss of habitats within the footprint of the Project sites, and temporary habitat loss for the establishment of work areas, storage sites and access roads. Excavation works will also cause vegetation clearance, resulting in nutrient loss at the top soil, which may reduce the soil fertility and inhibit the regrowth of vegetation. While these habitats are of limited ecological value (primarily grassland and agricultural land), they provide feeding and breeding habitats for some common and widespread species of birds and reptiles. Habitat loss and removal of vegetation for each subproject are assessed and summarized in Table VI-9 below.

53 Table VI-9 Summary of loss of habitats and vegetation

Project Components Impacts Jinyang WWTP Phase 2 • Clearance of 0.1089 ha of grassland and 2.035 ha of orchid • Temporary use of 0.15 ha of agricultural lands as work areas Jinbai WWTP & ancillary system • Clearance of about 4 ha (59.9 mu) of agricultural lands • Temporary habitat loss for construction of pipeline and ancillary system Nanming River Grit Chamber • Clearance of 0.3261 ha of grassland Huaxi River Water Environment • Temporary habitat loss for the establishment of work areas and storage Integrated Management Project sites (about 5 – 10 m along both sides of the Luoping and Yangniu Channel Interception Systems)

170. Disturbance to wildlife. Proposed works may cause direct injury/mortality of fauna due to earth works, vegetation clearance, and unauthorized actions of construction staff (e.g. fishing, hunting). In addition, noise and vibration from construction machinery, vehicles and increased levels of human activity will also cause disturbance to fauna. Furthermore, the localized air quality impacts from exhaust emission and dust generation from construction plant and vehicles may cause potential ecological impacts through pollutant/particle deposition on plants and animals. 171. Based on the ecological survey conducted as part of the DEIA for Huaxi River Water Environment Integrated Management Project, three terrestrial vertebrate species under Class 2 Protected Animal of PRC and 16 terrestrial vertebrate species under Guizhou Province Protected Animal were identified. Table VI-10 summarizes the species of conservation concern. As the natural habitats for the species of conservation concerns are much larger than the disturbed areas, the ecological risks and disturbance impacts are considered minor in scale, where these potential risk will be controlled and mitigated by implementing adequate measures at the construction sites.

Table VI-10 Species of conservation concern within the Study Area of Huaxi River Water Environment Integrated Management Project

Name of Species IUCN Classification Class 2 Protected Animal of PRC Black kite (Milvus korschun) Least Concern Kestrel (Falco tinnunculus) Least Concern Asian barred owlet (Glaucidium cuculoides) Least Concern Guizhou Province Protected Animal Asian grass frog (Rana limnocharis) Least Concern Schmacker’s frog (R. schmackeri) Least Concern Striped tree frog (Polypedates leucomystax) Least Concern Ant frog (Microhyla ornate) Least Concern Black-banded trinket snake (Elaphe porphyracea) Not evaluated on the IUCN Red List Indian cuckoo (Cuculus micropterus) Least Concern Hoopoe (Upupa epops) Least Concern Rufous-bellied woodpecker (Dendrocopos hyperythrus) Least Concern Rhinoceros snake (Rhynchophis boulengeri) Least Concern Jerdon’s tree frog (Hyla annectans) Least Concern Dark-sided chorus frog (Microhyla heymonsi) Least Concern Indian forest skink (Lygosoma indicum) Not evaluated on the IUCN Red List Eight-lined keelback (Natrix octolineata) Least Concern Beauty ratsnake (Elaphe taeniura) Not evaluated on the IUCN Red List Chinese green tree viper (Trimeresurus stejnegeri) Least Concern Great tit (Parus major) Least Concern

172. Impacts to the water quality and aquatic communities. The water quality of rivers and lakes will be impacted by the proposed construction phase activities. In particular, excavation and dredging works at the rivers, lakes and canals will affect the aquatic communities in the waterbodies, as well as potential water quality pollution due to spillage or leakage of fuel, oil and lubricants, cleaning chemicals and other material stored or used within the construction sites. 173. In order to address the aforesaid impacts, the following mitigation measures will be implemented to minimize the ecological risks and disturbance impacts:

54 (i) Construction works to be conducted at all sites will be carefully controlled, and good site practice will be carried out, which include: • Regular maintenance of all construction equipment and machinery to minimize air and noise pollution; • Implementation of dust suppression and site run-off control measures; • Strict controls for construction vehicles (e.g. speed control, regular vehicle maintenance, and prohibiting the use of horn); and • Adequate toilets and rubbish bins on construction sites; (ii) Post-project restoration of habitats: Top soil will be striped and stockpiles prior to the construction works, where they will be used for reinstatement of the vegetative covers; and (iii) Prior to any works, training and basic education on good site practice will be provided to construction staff, which include no littering, hunting, fishing, no unauthorized damage to vegetation, and minimizing noise and disturbance to sensitive receptors.

9. Social Issues

174. The Project involved permanent land acquisition and temporary land occupation. There does not appear to have house demolition impact within the boundary and community health and safety buffer zone. Land acquisition and resettlement activities of the Project have been completed9 by the local government. To ensure adequate social management practices are in place for all of the subprojects, CWE have co-ordinated with local governments in handling all resettlement issues, including participation in detailed measurement survey, discussion with the affected residents to clarify all resettlement related policies, and provision of adequate compensation and/or support. The social audit report (Attachment 3) verified that the compensation for permanent land acquisition was in compliance with the PRC’s Land Law, Implementation Regulations of Land Law, applicable regulations of Guizhou Province and Guiyang City. Local government agencies reported that they have not received any complaints.

175. Impacts on Land Use. Since all land has been acquired permanently before construction, during construction, there is no need to acquire more land. Temporary land occupation during construction is within the river bank and boundary of the road, and all are state-owned land. There will be no change in regional land use. 10. Community and Worker Health and Safety

176. To provide workers with safe and healthy working conditions and to minimize adverse impacts and risks to local communities, the civil works contractors will implement adequate precautions to protect the health and safety of the workers and community, which will include: (i) Provision of signage and road markings to raise awareness on safety issues and warn people of potential dangers such as moving vehicles and excavations; (ii) Provision of personal protection equipment for workers; (iii) Trainings to all construction workers on general health and safety matters, basic sanitation and health care issues, and specific hazards of their works; (iv) Establishment of emergency response plan with guidance and procedures on handling accidents and emergencies, including environmental and public health emergencies (e.g. fire, hazardous material spills, and surface water contamination); and (v) Setting up monitoring programs to keep track of the water quality, air quality and noise levels at the construction sites and sensitive receptors, and to ensure compliance to the Standards.

9 For Sub-project 6: Huaxi River Water Environment Integrated Management Project, DMS and consultation was completed, and the compensation has not been paid.

55 177. Workforce Impacts on Host Communities. The contractors always have the workers camps management rules. The manager of CWE at the site will help and cooperate with inspectors from government bodies to conduct all survey, inspections and monitoring on the following issues: (i) Compliance with the Fire Control Law, such as the gas and electricity should be used safely; (ii) Compliance with the Environment Protection Law, such as the solid waste and waste water should be collected and treated; and (iii) Compliance with the Labour Law, such as separate toilet and bathroom should be set for female workers.

178. Workers camps management rules, together with the relatively engaged local workforce will greatly reduce the social impacts on host communities from the presence of workers from outside the region. 11. Physical Cultural Resources

179. No cultural heritage or archaeological sites were identified at the Project areas. However, construction activities have the potential to disturb unknown underground cultural relics. To address this issue, the emergency response plan will include mitigation measures, such as suspension of construction activities if any archaeological or other cultural relics are encountered, and notification to the state department for cultural administration and associated agencies. All actions taken will comply with the PRC Cultural Relics Protection Law, and construction will resume only after investigation and with the permission of the appropriate authority. The clause for protection of unknown underground cultural relics will be included in construction contracts. D. Operational Phase

1. Water Resources

180. The sub-projects are expected to have a positive impact on wastewater management and river water quality during the operation phase. Wastewater treatment plants and other infrastructures will allow for effective management of domestic sewage generated from adjacent districts. 181. All tail water from the project sites will be treated to satisfy Class IA of “Discharge standard of pollutants for municipal wastewater” (GB18918-2002) before discharging into nearby rivers including Maijia River, Huaxi River, Shixi River and Nanming River, thus will not create any adverse impacts to the receiving water bodies. The sub-projects will also install online monitoring systems at the water intake point and discharge outlets, to monitor the quality of the water flow and pollutants including COD, BOD5, NH3-N, TP and SS, and conduct investigations once abnormalities are found, which will reduce the risk of water quality impacts on other water bodies. It is also recommended in the DEIA that the water intake and tail water should be regularly sampled and sent to the local environmental monitoring station for testing, to test the accuracy of the online monitoring device installed within the sub-projects. 182. Other sources of wastewater generation during the operation phase include the daily water usage by management staff, cleaning of mechanical appliances and sludge ponds as well as laboratory needs. The main experiments to be conducted in the sub-projects’ laboratories are sedimentation tests, which mainly determines whether the stability of activated sludge meets the requirements of wastewater treatment. Therefore, small volumes of wastewater generated from laboratories are mainly activated sludge wastewater. All wastewater will be transported through the wastewater pipelines within a closed process, and delivered directly to the sub-projects’ wastewater treatment plants which will not cause any adverse impacts on the surrounding environment. 183. Furthermore, incidents such as pipeline ruptures and sewage spills may occur during the operation phase and appear as significant environmental risks as they could increase pollution loading to receiving water-bodies, including lakes, canals, rivers within Huaxi and Guangshanhu District. Underground pipeline ruptures may impact the ground water, particularly if the water table is high. To prevent such conditions, regular inspection of pipelines and timely repair of ruptured areas will be conducted. The DEIA of sub-projects have also required sub-project

56 companies to develop effective environmental risk contingency plans, establish emergency alert systems and strengthen the maintenance and environmental monitoring of pipe networks. In addition, flow meters will be installed along the pipeline for monitoring the flowrate and providing signals when an abnormal flowrate is detected (suggesting possible sewage leakage). When sewage leakage occurs, immediate measures are required to be taken, not only to inform personnel to repair, but also to notify nearby residents and stakeholders immediately, to take measures to prevent sewage flowing into the residential areas and water bodies. 2. Air Quality

184. The main operation phase air quality issue will be odor from wastewater pumping stations, grille sewage wells, aeration tanks, sludge dewatering rooms, and exhaust emission from operation machineries, with TSP, H2S, NH3, NH4 and CH3 as main pollutants. Odor intensity could fluctuate due to seasonal and temperature changes, leading to strong odor in summer when temperature is high and a relatively weaker odor in winter when temperature is lower. 185. The sub-projects’ pump stations will install activated carbon deodorant systems, with removal rate of 95%. Through activated carbon absorptions, the odor will achieve Class 2 odor concentration of "Emission Standards for Odor Pollutants" (GB14554-93) before it is emitted, thus the impacts on the surrounding environment would be minimal. Biological filtration methods will also be used to remove odor from grille sewage wells and sludge dewatering rooms, with removal rate of over 99%. The odor concentration of the fugitive emissions will meet Class 2 of “Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant” (GB18918-2002) and “Emission Standards for Environmental Pollutants in Guizhou Province” (DB52/864-2013).

186. Furthermore, vehicles will also generate TSP, H2S and NH3 during operation. As the parking lot and the driveway for motor vehicles are locations where emissions are more concentrated, it is suggested in the EIA that the sub-projects should strengthen the management of driveways and parking facilities to reduce traffic congestion and vehicle speed, minimizing the emission of nitrogen oxides, carbon monoxide, hydrocarbons and other pollutions, as well as to increase greening at garage entrances and surrounding areas. Household measures, such as regular site cleaning, should be implemented to minimize the dispersion of dust to the air sensitive receivers. With above measures implemented, there will not be significant air quality impacts. 3. Noise

187. Mechanical noise will be generated from the operation of wastewater pumping stations, blowers room and on-site vehicles. No significant noise impacts are expected during the operation phase of the sub-projects, for the following reasons: (i) The noise will be generated in enclosed or partially-enclosed structures within the wastewater pumping stations and blowers room. Shock absorbers and sound insulators will also be installed at locations with significant noise sources such as draught fans, to reduce vibrations and noise. (ii) Rubber road humps will be installed within the driveways of sub-projects and car horns will be prohibited, to reduce the speed of vehicles on site and minimize noise impacts. (iii) Aspects including engineering design, equipment selection, pipeline design and sound insulation design will strictly follow the requirements of “Industrial Enterprise Noise Control Design Specifications” (GBJ87-85). (iv) Greenery within the project sites will be strengthened, especially at locations near facilities with significant noise impacts.

188. According to the DEIAs, noise levels of each sub-project will be controlled to within 60 dB(A) during day time and 50 dB(A) during night time at a distance of 1m from the boundary of the facility with above measures implemented, to comply with the Class II of the “Emission Standard for Industrial Enterprise Noise as Boundary” (GB12348-2008). The noise impact could then be relatively insignificant to the noise sensitive receivers and the surrounding acoustic environment if mitigation measures are implemented properly.

57 4. Solid Waste

189. The solid waste generated during the operation of the sub-projects are mainly sludge from wastewater treatment processes. The sludge moisture content will be below 50% after dewatering and the dewatered sludge will be sent to Guiyang municipal sanitary landfill on a regular basis. Before transportation, the sludge produced will be temporarily stored on site and will be protected from wind, rain and leakage to avoid secondary pollution. It is also required for sludge to be fully sealed during transportation, with waterproofing and leakage prevention measures implemented. The management and maintenance of transporting vehicles shall be strengthened, to prevent any fly tipping and accidental spills; all vehicles shall be cleaned, disinfected and with deodorant sprayed before leaving the project sites. 190. Other insignificant sources of solid waste during operation include grating slags, grit from grit chambers and the activated carbons from activated carbon deodorization systems of pumping stations. The activated carbons are required to be replaced regularly. The replacement amount of approximately 100kg each time will be contributing to solid waste generation on site. It is also expected that domestic waste of workers on site will be produced at a rate of approximately 0.5kg per capita per day. Recycling bins will be provided within the project sites and all collected domestic waste will be sealed with large plastic garbage bags, before transporting to the local sanitation department for unified treatments, such as recycling and landfill. The waste collection points will also be disinfected to kill pests, in order to prevent the spreading of stench and the breeding of mosquitoes. 191. Additionally, small amount of hazardous waste, such as waste oil and waste lubricants, will be generated throughout the usage and maintenance of pumping stations and mechanical moving parts. The procedures of waste storage will strictly follow the requirements of the “Standard for Pollution Control on Hazardous Waste Storage” (GB18597-2001), and will be distributed to qualified hazardous waste treatment centres regularly for unified collection and treatments. 192. In summary, operational solid waste would not be generated in significant amount and would not cause substantial pollution to the surrounding environment if managed properly. 5. Ecology and Biodiversity

193. The relatively low impact of habitat clearance by the sub-projects is further underscored by the additional habitats to be constructed, and improved habitat management. Existing sources of wastewater in the Project Area are intensively managed, which improves the overall quality of the water bodies in the area and enhances its ecological value. All project sites will also ensure a sufficient amount of greenery to be planted. 194. Other operation phase ecological impacts (e.g. noise and visual disturbance) are expected to be minor or negligible in scale. 6. Occupational Health and Safety

195. The sub-project staff could possibly be injured by slips, trips and falls on wet floors; by falls into treatment ponds, pits, clarifiers and by splashes of hazardous liquids. They could also suffer cuts and pricks from sharp tools, as well as contusions. A corporate-level Occupational Health and Safety Manual is in place, and will be used as the framework of health and safety safeguards for the subprojects in Nanming River Watershed Management Phase 2. In particular, the following measures will be implemented to safeguard the health and safety of workers on site: • Use safety shoes or boots with non-slip soles.

• Wear PPE and chemical resistant clothing to avoid exposure of skin or eyes to corrosive and/or polluted solids, liquids, gases or vapors.

• Post safety instructions in each workshop regarding the storage, transport, handling or pouring of chemicals.

58 • Check electrical equipment for safety before use; verify that all electric cables are properly insulated; take faulty or suspect electrical equipment to a qualified electricity technician for testing and repair.

• Wear safety goggles in all cases where the eyes may be exposed to dust, flying particles, or splashes of harmful liquids.

• Wear respiratory mask in the sludge dewatering workshops and when moving and transporting sludge.

• Obey all safety instructions concerning entry into confined spaces, e.g., check atmosphere for oxygen or for poisonous gases, use respiratory protection equipment if needed, have a co-worker stand guard in case of need for help.

• All workers will undergo periodic examinations by occupational physician to reveal early symptoms of possible chronic effects or allergies.

• Health and safety will be incorporated into the regular staff training programs.

7. Workforce Impacts on Host Communities

196. During operation, it’s estimated that 57 new staff will be recruited, and 95% will be provided to local people. Especially, more cleaners, canteen workers, and guards will be recruited from local nearby communities. This could provide employment opportunities to the local communities. 8. Physical Cultural Resources

197. According to CWE, no cultural heritage or archaeological sites were found in the Project Area. E. Indirect, Induced, and Cumulative Impacts

198. Indirect impacts are adverse and/or beneficial environmental impacts which cannot be immediately traced to a project activity but can be causally linked. Induced impacts are adverse and/or beneficial impacts on areas and communities from unintended but predictable developments caused by a project which may occur later or at a different location. Cumulative impacts are the combination of multiple impacts from existing projects, the proposed project, and anticipated future projects that may result in significant adverse and/or beneficial impacts that would not be expected in case of a stand-alone project.

199. Indirect impacts. The hydrology and ecology of the Nanming River might be affected as a consequence of the Project. The scale of these impacts is considered negligible for the following reasons: (i) Tail water from all sub-projects will only be discharged into tributaries of Nanming River after treatment, when discharge standards have been met. Untreated water may be discharged into the nearby water bodies unexpectedly when accidents occur, during situations of pipeline ruptures and power failures of pumping stations. Emergency prevention measures have been implemented to prevent such situations by installing online monitoring devices and increasing inspection frequencies. (ii) The construction of dams of the Huaxi River Water Environment Integrated Management Project can reduce the amount of water stored on the floodplain (causing increased flows downstream) and manages stormwater of Guiyang City, which ensures no increase in the volume of run-off or peak discharge entering Nanming River, controls water quality impacts to the River and prevents floods. When there is an unexpected sudden peak in outflow, personnel will be informed immediately for repair and rectification; nearby residents and stakeholders will also be notified immediately, thereby allowing time to build a dam of sandbags or implement other measures to redirect and prevent sewage flowing into the residential areas and other significant zones as far as safe and possible.

59 (iii) The Nanming River Basin Remote Sensing Monitoring Sub-project provides real time water quality monitoring of the main stream and tributaries of the Nanming River, which could detect abnormalities and implement corrective actions in a timely manner. (iv) The Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment Sub-project involves assessments on the river’s hydrology and ecology for a two-year period, which closely monitors the river conditions and minimizes possible adverse impacts of accidents.

200. Induced Impacts. Potential induced impacts could arise if the wastewater management designs in the Project are not as effective as expected. As a consequence, water discharged into the main stream and tributaries of Nanming River could be of less than the expected standard, impacting water quality, drinking water supplies and ecological resources. Incidents such as pipeline ruptures and sewage spills may also occur and pollute the nearby water bodies. 201. However, this impact is likely to be of limited concern due to the relatively small volume of water discharged from the sub-projects compared to the overall volume of the Nanming River. According to the DEIAs, the WWTPs will stop the effluent discharge when exceedance of effluent quality is detected. In the event that the water quality standard at the discharge point does not meet the standards, a review of the treatment system management will be conducted to identify potential source that causes the discharge not complying with standards, and implement remedial measures. Additionally, the sub-project companies have online water quality monitoring systems and environmental risk contingency plans in place, which could detect abnormalities in a timely manner and minimize the impacts resulted from unexpected conditions.

202. Cumulative Impacts. The proposed Project is linked to the overall development plan of the Guiyang city. Successful delivery of the Project will improve water resource management and river water quality in Guiyang, and serve as a model for future water-sensitive urban developments in the wider Guizhou Province and other cities in China. F. Climate Change

203. Through improvements in collection and management of urban wastewater, wastewater is being collected and treated before discharging into the natural hydrological and ecological cycle. By mimicking natural chemical systems, they ensure the good perpetuation of the natural water cycle, therefore the Project components and outputs will have significant positive effects and contributions to the climate change resilience of the Project Area. 204. On the other hand, during wastewater treatment, greenhouse gases (GHGs) including carbon dioxide (CO2) from aerobic (oxidation processes), methane (CH4) from anaerobic processes (3– 19 % of global anthropogenic methane emissions) as well as leakage, and nitrous oxide (N2O) (3 % of N2O emissions from all sources) associated with nitrification/denitrification (NDN) processes, as an intermediate product, can be emitted to the atmosphere. 205. In order to mitigate the Project’s impacts on climate change, adaptation measures have been included in the Project design and are described below: (i) The materials selection for wastewater pipeline network and pumping stations considered potential leakage caused by ground subsidence; (ii) The pump stations have been designed with self-cleansing capacity as an adaptation to increased precipitation variability, and to account for drought conditions; (iii) Reduction of deposition, slippage, overtopping risks was taken into consideration; (iv) Appropriate construction materials and protection measures was selected to avoid equipment aging and damage due to high temperatures and extreme weather conditions; (v) Appropriate foundation protection and compaction was implemented to avoid pipeline network system damage due to flooding and ground subsidence; (vi) The design of wastewater collection system is required to provide self-cleansing velocity during low flow condition; (vii) During construction, risky assets would be protected, replaced or moved in emergency, such as electricity supply and acquisition;

60 (viii) The potential alteration of recurrence intervals for floods and flow rates due to the increasing intensity of storm events will be considered in the design of earth dikes, concrete walls and flood detention areas; and (ix) Increasing annual precipitation and rainfall intensity within the project area was taken into consideration, to ensure a sufficient storage capacity for rainwater cabin.

61 VII.ANALYSIS OF ALTERNATIVES

206. During project preparation, alternative designs and sites were assessed in consideration of potential environmental and social impacts, as well as technical, economical, and energy efficiency, including (i) project site selection; (ii) wastewater treatment system; and (iii) lake dredging methods. A. Design Options for Output 1: Jinyang Wastewater Treatment Plant Phase 2

207. For the construction of Phase 2 of Jinyang WWTP, different wastewater biological treatment systems were reviewed. Comparison of the treatment systems are summarized in Table VII-1. Even though all of the treatment systems provide similar performance and reliable operation, the improved A2/O system has a better impact resistance and high equipment utilization rate, while requiring a moderate operating costs. Furthermore, based on previous experience from Jinyang WWTP Phase 1, which adopted the oxidation ditch process, the system required upgrades in order to meet Class IA discharge standards of GB 18918-2002. With a designed treatment capacity of 100,000 ton/day for Jinyang WWTP Phase 2, which is twice of Jinyang WWTP Phase 1, the improved A2/O system combined with membrane bioreactor are selected to ensure the WWTP is capable of handling the designed treatment capacity as well as compliance with the PRC standards.

Table VII-1 Comparison of treatment system for Jinyang WWTP Phase 2

Assessment Oxidation Ditch Improved A2/O Sequential Batch Membrane Criteria Process System Reactors Bioreactor Good Good Good Satisfactory (Anaerobic selector (Anaerobic selector (Anaerobic selector Performance (Phosphorus + phosphorus + phosphorus + phosphorus removal system) removal system) removal system) removal system) Reliability Satisfactory Satisfactory Good Good Due to constraints Flexibility when with regards to the handling sudden membrane filtration Satisfactory Good Satisfactory surge in influent flux capacity, the quality and quantity ability to withstand impact load is poor Operation Difficulty Moderate Moderate Moderately High High Sludge Quantity Moderate Moderate Moderate Low Footprint Large Large Relatively Small Relatively Small Operating Costs Moderate Moderate Relatively High High

B. Design Options for Output 2: Jinbai Wastewater Treatment Plant

208. Two options were reviewed for the project site location. The proposed locations are shown in Figure VII-1. Option 1 (Zhangchong Village) is located east of Jinhu Road and south of Maijia River, while Option 2 (Haoguan Village) is located west of Jinhu Road and north of Maijia River. The two options are compared in Table VII-2.

62

Source: Feasibility Study Report for Jinbai WWTP, 2015.

Figure VII-1 Alternative locations for Jinbai WWTP

Table VII-2 Comparison of layout plans for Jinbai WWTP

Option 1 Option 2 Item Zhangchong Village Haoguan Village 15.8 Available Site Area (ha) 20 (The region involves about 0.6 ha of Class III protected forest land) Demolition Area (m2) 0 0 Elevation Difference on site 33 17 (m) Using Jinhu Road as the main Using Jinhu Road as the main Site Access access route access route Southwestern region of Southwestern region of Guangshanhu District, including Guangshanhu District, including Service Area the Baihua Lake, Nanming River the Baihua Lake, Nanming River and Maijia River and Maijia River

209. As the two alternative sites are located in similar region, the WWTP at either site can cover the same service area, and use Jinhu Road as the main access route. Even though Option 1 has a greater difference in ground elevation, which requires more excavation works for constructing the foundation for the WWTP, it is chosen over Option 2 as it has a larger area of available land and does not involve any protected forest land. Furthermore, Option 1 offers greater flexibilities in terms of future development as it has more available land, thereby allowing expansion of the WWTP if needed in the future. 210. In addition, the Jinbai WWTP project involves construction of interception system along the east side of the Baihua Lake in order to protect the drinking water quality. Two alternatives were proposed for the routes of the interception channel as shown in Figure VII-2. Several site surveys were conducted to analyze the drainage system, structure and geology of the proposed routes. Results are summarized in Table VII-3.

63

Source: Feasibility Study Report for Jinbai WWTP, 2015.

Figure VII-2 Alternative routes for the Baihua Lake Interception System

Table VII-3 Comparison of the alternative routes for the Baihua Lake Interception System

Route Scale Advantage Disadvantage The channel follows along System crosses Yaojia Village Total length of the intercept Zhonghuan Road, which has the Zhuzhang (along Zhonghuan system is 7,440m, consists of a lower elevation, allowing Town, requiring Road)  Zhuchang 3,985m long tunnel and 3,455m the wastewater to flow by development of Town  Jinbai long box culvert, and a cross 2 Option 1 Option1 gravity. Cover larger area for 10,000 m of WWTP section area of 5.5x6.0m. wastewater collection. land. Yaojia Village Total length of the intercept Longer route; (along Zhonghuan system is 8,380m, consists of The channel follows along higher costs. Road)  Hillside of 4,925m long tunnel and 3,455m Jinhu Road, requiring less Cover less area Maijia River  long box culvert, and a cross demolition area. for wastewater

Option 2 Option2 JInhu Road  section area of 5.5x6.0m. collection. Jinbai WWTP

64 211. With regards to the technical and economic perspectives, Option 1 is chosen as it has a shorter route, but covers more area for wastewater interception. Furthermore, its geological advantage reduces the need of pumping stations along the route, thereby, requiring less construction costs. C. Design Options for Output 3: Nanming River Riverbank Interception Channels and Grit Chamber Project

212. To reduce the solids and grits content in the influent to Xinzhuang WWTP, different types of grit chambers were assessed, including aerated, vortex and horizontal grit chambers. Comparison between the three systems are summarized in Table VII-4. In order to relieve loading in Xinzhuang WWTP as well as handling a treatment capacity of 800,000 m3/d, the horizontal grit chamber is chosen because of its better performance in removing fine particles and ease of equipment cleaning.

Table VII-4 Alternative Comparison of Settling Basins

Item Aerated Grit Chamber Vortex Grit Chamber Horizontal Grit Chamber Description • Sediment contains less than • Good performance in the • Good performance in the 5% of organic matter. separation of inorganic separation of fine matter. particles; simple design. • Functions include pre- aeration, deodorization and • Easy to incorporate into • Easy to remove grit scum skimming, as well as other systems. during clean-up. accelerates the separation of oil and suspended solids in the wastewater. Footprint Relatively Large Small Large Capital Cost Relatively High Low Low Operation Easy to operate; technical Easy to operate; technical Easy to operate; technical requirement is relatively low. requirement is relatively low. requirement is relatively low. Adaptability Stable operation; Capable of Requires robust fine screens Capable of handling large to various handling large fluctuation in and high speed of water flow fluctuation in water volume. influent water volume and quality. to work effectively; quality Applicable to systems without primary settling basins. D. Design Options for Output 4: Nanming River Basin Remote Sensing Monitoring

213. As infrastructure construction and operation would not be required for Output 4, the assessed design alternatives were not applicable for this component. E. Design Options for Output 5: Guiyang City Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment

214. As infrastructure construction and operation would not be required for Output 5, the assessed design alternatives were not applicable for this component. F. Design Options for Output 6: Guiyang City Huaxi River Water Environment Integrated Management Project

215. For lake dredging required under the Project, two alternative dredging methods were reviewed. A summary of these alternatives is provided is Table VII-5. As the water level at Huaxi River is relatively low, especially during dry season, dredging without water offers better advantages. In addition, cofferdams will be constructed downstream of the dredging area to minimize the release of sediments and contaminants to the downstream of Huaxi River.

65 Table VII-5 Alternative Comparison of Dredging Methods

Dredging Method Application condition Advantages Disadvantages Alternatives Dredging with water The use of suction or backhoe Does not require draining Difficult to monitor dredger, which directly remove of water from the lake. riverbed conditions. sludge from underwater. Dredging without Water in the lake will be drained Relatively easy to monitor Relatively less water section by section, thereby the riverbed conditions, efficient when exposing the bottom of the and provide an accurate applying during wet lake/canal, where sludge will be estimation of the amount of season. removed by excavator. sludge needed to be removed.

66 VIII.PUBLIC CONSULTATION, PARTICIPATION AND INFORMATION DISCLOSURE

A. Legislative Framework for Public Consultation and Information Disclosure

216. Meaningful participation and consultation for Project planning, feasibility study, environmental impact and mitigation, design and implementation are important safeguard requirements. The PRC Environmental Protection Law and the Regulations of the Administration of Construction Project Environmental Protection (Order No. 253 of the State Council) require that a DEIA solicits the opinions of organizations concerned and residents within and near the project sites. 217. In August 2012, the PRC National Development and Reform Commission (NDRC) issued a requirement for “Social Risk Assessment of Large Investment Projects”, which emphasizes the importance of public consultation in an effective manner, and requires that the results of public consultation are clearly summarized in the DEIA report. ADB’s SPS (2009) also requires meaningful public participation, consultation and information disclosure. The consultation process for this Project followed both the PRC law and the SPS. Public consultations for the environmental assessments of the sub-projects included information disclosure of project documents. During the information disclosure period, no complaints were received. B. Information Disclosure

218. For most of the subproject, relevant information, such as the DEIA report, as well as the contact information of the subprojects were disclosed on the tender notice of Guiyang Environmental Protection Bureau (GEPB). For each subproject, the public was given 5 working days to provide feedback for GEPB. The date of the information disclosure of the subprojects are listed in the table below:

Table VIII-1 Subproject Information Disclosure Schedule

No. Subproject First Date of First Second Date of Second Information Information Information Information Disclosure Disclosure Disclosure Disclosure 1. Jinyang Wastewater January 2016 Figure VIII-2 February 2016 Treatment Plant Phase 2

67 Figure VIII-1 2. Jinbai Wastewater January 2016 Figure VIII-3 April 2017 Treatment Plant

68 Figure VIII-1 3. Guiyang City Huaxi River January 2016 Figure VIII-4 April 2017 Water Environment Integrated Management Project

69 Figure VIII-1 Note: i) According to CWE, Nanming River Riverbank Interception Channels and Grit Chamber Project is regarded as a small-scale extension project of previously built projects, only county level approvals were required. Hence, only village representative were consulted.

ii) No EIA reports were required for Nanming River Basin Remote Sensing Monitoring subproject & Guiyang City Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment subproject

70

Figure VIII-1 Information Disclosure in Guiyang Government Website for Jinyang Wastewater Treatment Plant Phase 2, Jinbai Wastewater Treatment Plant, and Huaxi River Water Environment Integrated Management Project

Figure VIII-2 Second Information Disclosure in Guiyang Government Website for Jinyang Wastewater Treatment Plant Phase 2

71

Figure VIII-3 Second Information Disclosure in Guiyang Government Website for Jinbai Wastewater Treatment Plant

Figure VIII-4 Second Information Disclosure in Guiyang Government Website for Guiyang City Huaxi River Water Environment Integrated Management Project

72 219. During implementation, great importance was paid to the public participation, and consultation meeting was organized. Detailed measurement surveys (DMS) were also conducted to assess the affected community. Details of the consultation meetings and results of the DMS for each subproject are presented in Attachment 3, Social Audit Report, of this IESE. C. Future Information Disclosure and Public Consultation Program

220. Information disclosure and public consultation relating to environment safeguard will continue throughout the project implementation. The project’s environmental information will be disclosed by the local EPB and ADB as follows: • The final approval of DEIA will be disclosed on the website of GEPB (http://www.gyshb.gov.cn);

• The project IESE will be disclosed on the project website of ADB (www.adb.org); and

• All annual environmental and social monitoring reports of CWE will be available on ADB’s website (www.adb.org).

73 IX.GRIEVANCE REDRESS MECHANISM

221. CWE will establish a grievance redress mechanism (GRM) on site for handling environmental and social complaints, including complaint recording, consultation, issue investigation, mitigation action, follow-up, general timeframe for resolution and delegation of responsibilities. 222. The GRM will address any possible concerns and dissatisfaction of affected groups regarding the social and environmental impact of its subprojects, and seek a proper solution. It should be able to promptly respond to the affected groups, be transparent and free of gender discrimination, and adapt to the cultural traditions of the affected groups and communities. Moreover, it should enable different affected groups to express their opinions, with no fear of reprisal. 223. The Regional Environmental and Social Managers (RESMs) of CWE’s regional offices will be responsible for (i) appeals, complaints, and disputes concerning the environmental and social impacts of subprojects which have not been resolved by the Project Environmental and Social Managers (PESMs) at companies in handling appeals, complaints, and disputes.

ADB’s GRM Requirements

224. The ADB’s SPS requires CWE to establish a GRM to receive and facilitate resolution of affected person’s concerns and complaints about the subproject’s environmental impact and performance during construction as well as operation phases. The GRM should be scaled to the risks and adverse impacts of the subproject; should address affected people’s concerns and complaints promptly, using an understandable and transparent process; should be readily accessible to all sections of the community at no cost and without retribution; and should not impede access to the PRC’s judicial or administrative remedies.

Current GRM Practices in the PRC

225. At the national level a framework to address grievance has been established. State Council Decree No. 431 “Regulations on Letters and Visits” (January 2005) codifies a complaint mechanism at all levels of government, and safeguards the complainants from any retaliation. MEP “Decree No. 34 Environmental Letters and Visits System” provides specific guidelines to establish a system and address environmental complaints. When APs are negatively affected by project activities, they may complain to the contractors and the project company by themselves or through their community organizations, or complain directly to local environmental protection bureaus (EPBs). If the issue is not resolved they may take legal action, though that is typically considered as a last option.

GRM Steps

226. The basic grievance procedures include the following steps. Stage 1. Recording and Registering Grievances

The Project Environmental and Social Management Team (PESMT) shall act as the central point of contact for the GRM in project and subproject level. On receipt of a complaint concerning any aspect of the project or subproject, in forms mentioned above or others as appropriate, the complaint shall be recorded in a grievance log and registered in a central data system for further action and internal tracking. Stage 2. Screening and Assessing the Grievances

The PESM shall determine the eligibility of the grievance / complaint received with reference to the following criteria: (i) If the complaint pertains to the aspect of the project or subproject; (ii) If the complainant has a direct relationship with the project or subproject; and (iii) If the issues raised in the complaint fall within the safeguard scopes that the GRM is authorized to address. If the complainant is not eligible to be established, the complainant shall be informed of the decision and the reasons for the rejection. If the initial screening establishes the eligibility of the received grievance, the PESMT shall then conduct an assessment to investigate and verify the details and nature of the grievance.

74 Stage 3. Formulating Response and Redress Approach and Implementation

An initial response shall be formulated by the designated complaint-resolution personnel responsible for the assessment of the grievance / complaint. Depending upon its seriousness, relevant departmental managers, and/or the PESM/PESMT may need to participate in the feedback process at different levels. In the event of disagreement or any disputes between the APs and the Project Company, the case shall be escalated to higher authority, e.g. the RESM/RESMT, CESM/CESMT, or judicial authority if necessary, for resolution. Any outcome shall be communicated to the AP via written notice. Stage 4. Settling, Tracking, Monitoring, Documentation and Evaluation of the Outcome

An evaluation system shall be established to assess the overall effectiveness and the impact of the GRM. PESM shall summarize and report all complaints / grievances received and the corrective actions taken correspondingly to the CESM/CESMT either on an annual or bi-annual basis. The results shall be used to contribute to continuous improvement of the GRM and provide valuable feedback to CWE management.

227. The project company will inform the local community and the affected people of the grievance and appeal procedure through public information meetings, the resettlement information brochure and other media, so complaints submitted and actions implemented will be properly documented and be included in the grievance register.

228. Details of the GRM established for each subproject are presented in Attachment 3, Social Audit Report, of this IESE.

75 X.ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN

229. A Project Environmental and Social Management Plan (ESMP) has been prepared (Attachment 1), based on the DEIAs, discussion with the PEMSM, implementing agencies, and local communities. The ESMP defines mitigation measures for the anticipated environmental impacts, institutional responsibilities, and mechanism to monitor and ensure compliance with PRC’s environmental laws, standards and regulations, as well as ADB’s SPS.

76 XI.CONCLUSIONS

230. The Project will improve water resources management in the Nanming River watershed, helping to secure safe drinking water supplies, maintain water quality to protect ecological resources, and manage other environmental risks. Cumulatively, the Project will complement a range of domestically-funded programs, which together will help achieve the targets of the Guiyang City master plans for development and environmental management. 231. Key construction impacts could be arised from: (i) soil erosion due to excavation works, construction of the WWTPs and ancillary system, and removal of vegetation during construction; (ii) runoff from construction sites, improper release of wastewater and lake dredging, which may cause contamination to the surface water quality; (iii) air pollution and noise impacts from various construction activities; (iv) community health and sanitary problems if the solid waste generated during construction are not properly disposed of; (v) minor ecological impacts due to habitat loss of areas adjacent to construction sites; (vi) interference with traffic and municipal services during various construction works, permanent and temporary acquisition of land, involuntary resettlement; and (vii) occupational and community health and safety. 232. Operational impacts considered were: (i) Odor from wastewater pumping stations, grille sewage wells, aeration tanks, sludge dewatering rooms, and exhaust emission from operation machineries; (ii) wastewater generation from daily water usage by on-site management staff and cleaning of mechanical appliances; (iii) incidents such as pipeline ruptures and sewage spills may increase pollution loading to receiving water bodies; (iv) air pollution from on-site vehicles; (v) mechanical noise from pumping stations and on-site vehicles; (vi) solid waste from grating slags, grit chambers and pumping stations; and (vii) occupational health and safety issues and injuries. 233. Measures to avoid, minimize, and mitigate these and other potential Project impacts have been developed within the Project ESMP (Attachment 1). Land acquisition and resettlement, information disclosure and public consultation was conducted in accordance with PRC and ADB requirements (Attachment 3) and will continue throughout Project implementation. A Project GRM has been developed and will be implemented at the county and site levels. 234. Based on the information presented in this IESE, and assuming full and effective implementation of the Project ESMP, training, and loan assurances, potential adverse environmental impacts are expected to be minimized and/or mitigated to within the standards applied in this IESE.

77

ATTACHMENT 1: ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN

ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN FOR THE NANMING RIVER WATERSHED MANAGEMENT PHASE 2 – STAGE 2 PROJECT

78 1. Objectives

An environmental and social management plan (ESMP) has been prepared for the Nanming River Watershed Management Phase 2 – Stage 2 Project. It is an essential document to ensure the implementation of mitigation measures. The ESMP is based on the domestic Environmental Impact Assessment (DEIAs) for the Project, and defines appropriate mitigation measures for the anticipated environmental impacts, and describes the institutional responsibilities and mechanisms to monitor and ensure the compliance with PRC’s environmental laws, standards and regulations, and ADB’s Safeguard Policy Statement (SPS 2009).

ESMP supervision and monitoring results will be used to evaluate (i) the extent and severity of actual environmental impacts against the predicted impacts, (ii) the performance of the environmental protection measures or compliance with related rules and regulations, (iii) trends of impacts, and (iv) overall effectiveness of the mitigation measures.

2. Organizations and Their Responsibilities for ESMP Implementation

The Corporate Environmental & Social Manager (CESM) reports to CWE’s senior management. The CESM has oversight for environmental and social issues, ensures that resources are made available for environmental and social management, and should sign and submit the annual environmental and social performance report to ADB. S/he should ensure that ADB is notified if and when there is material environmental or social safeguards non-compliance. S/he should also ensure that ADB is notified if and when the responsible staff has been changed or replaced with new staff.

At the corporate office, the Corporate Environmental & Social Management Team (CESMT) will assist the CESM in effective safeguards planning and implementation. During subprojects preparation and implementation period, the safeguards team at the corporate office will be responsible for the environment and social issues, and will prepare IESE, IPP, and RP, supervise the effective implementation of the ESMP; coordinate periodic environmental and social impact monitoring according to the approved monitoring plan; coordinate the project level GRM; prepare annual environment progress reports and submit them to ADB; conduct public consultation and inspect implementation of mitigation measures. Implement the ESMS system at both the holding company and Project Company levels.

A Regional Environmental & Social Manager will ensure that the environmental and social safeguards are being adopted and implemented internally by all Project Companies, and assist the CESM/CESMT to verify the monitoring information and reports submitted by the PESM by undertaking inspections, including field visits, to verify their compliance with safeguard measures and their progress toward intended outcomes, as well as the veracity of their periodic reports.

A Project Environmental & Social Manager (PESM) of Project Company is appointed to implement the environment and social safeguards at Project Company and prepare and submit the annual environment and social impact monitoring report to the RESM Manager.

Construction contractors engaged by the Project Company will be responsible for implementing the mitigation measures during construction under supervision of the Project Company and Corporate office. In their bids, contractors will be required to respond to the environmental management requirements defined in the ESMP. Each contractor will be required to develop site specific ESMPs and will assign a person responsible for environment, construction site health and safety. After project completion, environmental management responsibilities will be handed over to the operator.

3. Summary of Potential Impacts and Mitigation Measures

The potential impacts and environment safeguard issues of the sub-components during pre- construction, construction and operation as identified by environmental impact assessments and set out in this IESE, as well as corresponding mitigation measures designated to minimize those impacts and address these issues are summarized in Table ESMP-1.

79 Table ESMP-1 Potential Impacts and Mitigation Measures during Construction and Operation Phases of the Project Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency A. DESIGN AND PLANNING PHASE Detail Design Topography Project site and • Confirm final designs and layout for project infrastructure, including PESM, CWE, EPB and Planning and soils route selection landscaping and any required compensatory planting. In compliance with PESMT, DI Stage PRC’s Forestry Law, any compensatory planting must be the same as, or larger than, the area cleared. • Pipeline networks: select sites and routes in compliance with the City’s urban plan. Ambient air, Construction • Plan daily schedules to minimize impacts to agricultural activities. PESM, CWE, EPB noise and schedule • Consult with local municipalities and residents on scheduling of noisy PESMT, DI solid waste construction activities. • Coordinate excavation and spoil disposal to minimize duration of temporary stockpiles. Surface water Construction • Rented houses will be used as far as possible. PESM, CWE, EPB pollution and worker camp sites • Camps will not be built within the water source protection area. PESMT, DI waste • Sewage (domestic sewage and washing sewage) will be properly management discharged to the public sewer interceptor. Sediment and Dredged sludge • To be located in low-lying area. PESM, CWE, EPB dewatering drying, • Overflow water from sludge drying and consolidation ponds will be PESMT, DI consolidation discharged back into the lake. The discharge water quality will meet ponds and Class I of the PRC Integrated Wastewater Discharge Standard prior to sediment discharge. management • Identify location of spoil areas: (i) low-lying areas of wasteland / dryland. Farmlands are forbidden to be used; (ii) downwind and at least 200m from the residential areas. Surface water Construction phase • Supplementary sedimentation tank will be built in permanently owned PESM, CWE, EPB pollution wastewater land (to avoid land acquisition). Utilize wastelands and dry lands as a PESMT, DI management priority. Farmlands are forbidden to be used. Physical Temporary • Temporary construction roads will not be built near residential areas, and PESM, CWE, EPB resources construction road should not destroy existing roads, rivers, ecology and other rural PESMT, DI infrastructures. Environmental Risk control • Locate odor-generating and noise-producing facilities downwind from PESM, CWE, EPB and social residential areas. PESMT, DI safeguards • Climate adaptation measures should be incorporated into the detailed design of the project.

80 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency Construction Environmental Updated ESMP • Update mitigation measures defined in this ESMP based on final detailed PESM, CWE, EPB Preparation and social design. PESMT safeguards • Submit the updated ESMP to ADB for review. • In case of major changes of project location and/or components, conduct EIA and public consultation. Submit to EPB and ADB for approval and disclosure. Bidding and • Incorporate mitigation measures in this ESMP to bidding documents. CWE, PESM CWE, EPB contract document • Bidding documents are sent to ADB for review. • Prepare environmental contract clauses for contractors. Construction site • Prepare Site Environment Management and Supervision Plan (SEMSP), Contractors CWE, PESM management including health and safety plan. planning • Assign site environmental health and safety officer. • IAs and PESM review and approve the SEMSP. ESMP training • Provide training on implementation of this ESMP to all relevant agencies, PESM, CWE, EPB especially contractors and suppliers. PESMT Establish GRM • PESM Environmental Officer(s) establish GRM. PESM, CWE, ADB, • All PESM personnel trained in GRM. PESMT EPB • Distribute contact details for GRM on EPB public websites and construction sites. • The GRM should also be applicable to subproject employees. Negative • Continuous dialogue with host communities should be maintained. PESM, CWE, EPB community • GRM, including contact information of the responsible person, should be PESMT perception caused maintained all the time to deal with problems induced by land acquisition. by land acquisition Construction Phase Contractor Contractors Contractors • Contractors must be able to provide proper skill set in order to have their PESM, CWE, , EPB management capabilities selection operation and service license. PESMT • Contractors are required to deposit guarantee fee (2% of the contract amount) in the special bank account of local labour bureau. • Civil works contractors shall hire workers from the local community as far as possible. • CWE shall select contractors who have good track records of environmental, health and safety and social compliance with the national labour laws (minimum wages, hours worked, benefits, prohibition of child labour and forced labour, etc.).

81 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency • Contractors shall always maintain workers camps management rules. Impact on Topography Earthwork and soil • Define spoil disposal sites and borrow pit locations in the construction Contractor, CWE, Physical and Soils erosion tender documents. CSC Project Resources • Construct intercepting channels to prevent construction runoff entering Company, waterways. EPB • Divert runoff from sites to sedimentation ponds or existing drainage. • Limit construction and material handling during periods of rains and high winds. • Stabilize cut slopes, embankments, and other erosion-prone areas during works. • Minimize open excavation areas and use compaction techniques for pipe trenches. • Rehabilitate all spoil disposal sites and construction sites. • Stabilize earthwork areas within 30 days after earthworks have ceased at the sites. • Preserve existing vegetation where no construction activity is planned. Ambient Air Dust generated by • Spray water on construction areas and roads to reduce dust from Contractor. CWE, construction earthwork excavation, transport, loading, and uploading and stacking. CSC Project activities • Speed limits are set in the construction site. Company, • Strengthen the maintenance schedule of the vehicles, vehicles must be EPB cleaned before leaving the construction site. • Cooperate with local transportation department, avoid traffic congestions caused by the construction activity. Gaseous air • Ensure emissions from vehicle and machinery comply with PRC Contractor, CWE, pollution from standards of GB18352-2005, GB17691-2005, GB11340-2005, GB2847- CSC Project construction 2005, and GB18285-2005. Company, machinery • Equipment and machinery are maintained to a high standard to ensure EPB efficient running and fuel-burning. • Provide tail gas purifiers to high horsepower equipment. Odor from dredge • For odor impacts during lake dredging, immediately transport spoil to Contractor. CWE, spoil disposal site after dewatering, in sealed containers. CSC Project • Spoil management sites will be clearly demarcated. Company, EPB

82 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency Noise Noise generated • Ensure construction machinery conform to PRC standard of GB12523- Contractor. CWE, from construction 2011. CSC Project activities • Properly maintain vehicles and PME to minimize noise. Company, • The speed limit signs are proposed to be set 50m ahead of the residential EPB areas when the construction transport roads cross the villages. The driving speed must not exceed 20 km/hr and no whistle/horn is allowed. Avoid transport activities at night. • Prohibit construction activities between 22:00 and 8:00. • Sound barriers will be built in construction sites where construction noise exceed the standard. • Height of the sound barrier will be ≥ 2m. • Utilize metal or synthetic materials for construction of sound barriers. Detachable structures are recommended, for re-use in different sites. • Monitor noise at sensitive areas and consult residents at regular intervals (ESMP Monitoring Plan). If noise standards are exceeded, equipment and construction conditions shall be checked, and mitigation measures shall be implemented to rectify the situation. • Conduct interviews with residents adjacent to construction sites to identify and resolve issues, including adjustment of work hours of noise- generating machinery. Surface water Contaminants from • Use of closed grab dredger to minimize release of sediment and other Contractor, CWE, pollution and dredging activities contaminants for any dredging and filling activities in open water. CSC Project dredging • Deployment of silt curtains / cofferdams at appropriate dredging areas. Company, • Avoid dredging in wet season (April to September) EPB Construction • Settling ponds and oil-water separator will be installed. Contractor. CWE, wastewater • Collect wastewater from construction and reuse it after treatment. CSC Project Recycled water will be used to spray for dust control. Company, • Residuals are removed from site and disposed of at municipal landfills. EPB • All earthworks along waterways will be accompanied by measures to minimize runoff, including sediment traps. • The construction activity shall be scheduled in dry seasons and avoid mating seasons for fish. • Remove structures for construction after completion of pipeline laying.

83 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency Domestic • Portable toilets and on-site wastewater pre-treatment systems will be Contractor. CWE, wastewater from installed at construction camps along with proper maintenance protocols. CSC Project construction sites • No sewage discharge directly to the first and second class water source Company, protection zone is allowed. The sewage will be discharged to public EPB sewer interceptor. Sediment and • Conduct dredging of lakes and canals in dry season. Contractor. CWE, dewatering • Close lake outflow gates during dredging works. CSC Project • Dewatering of dredged sediments will be in temporary, lined pits. Excess Company, water will be drained off and the sediment will be disposed of at municipal EPB landfills. Handling of • Guidelines for handling and disposal, including spill responses, are Contractor. CWE, hazardous and prepared and included in the SEMSP. CSC Project harmful materials • Construct storage facilities (including fuel and oil storage), with bunds Company, and clean-up equipment. EPB • Fuel supplier is properly licensed and follows the proper protocol for transferring fuel, and complies with JT3145-1991 (Rules of transportation, loading and unloading of dangerous goods by automobile). • Vehicle, machinery, and equipment maintenance and refueling are carried out so that spilled materials do not seep into the soil or into waterbodies. Solid Waste Construction waste • Construction waste will be transported to the Gaoyan Sanitary Landfill if Contractor. CWE, management cannot be reused. Construction waste is not allowed to accumulate on CSC Project site over long periods. Company, • The construction waste delivery vehicles must be covered by trap to EPB prevent spillage. Domestic waste • Provide appropriate waste collection and storage containers at locations from construction away from surface water or sensitive receivers. sites • Provide sufficient garbage bins at strategic locations and ensure that they are protected from birds and vermin, and emptied regularly. • Burning of waste is strictly prohibited. Hazardous waste • Provide appropriate waste collection and storage containers. from construction • Ensure the container for storing hazardous wastes is properly labelled sites and stored separately from other waste or stockpiled materials.

84 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency • The hazardous waste must be cleared and removed by qualified waste collection companies for proper disposal. Management and • Temporary stockpile and storage site are proposed to be set within the Contractor. CWE, remediation of boundary of permanently acquired land for the Project. CSC Project stockpile / • Water spray is required during dry days and temporary intercepting ditch Company, temporary storage is constructed around the stockpile and storage site to reduce soil erosion EPB site and landslide. • Top soil will be stored separately and backfilled in sequence, which is beneficial for the recovery of farmlands and plants. Impact on Ecology Damage to flora • Strict regulation on choosing location for construction site. Contractor. CWE, biological and fauna • Restoration of the habitat after construction, using local flora and fauna CSC Project resources resources species. Company, • Strengthen construction workers’ awareness on ecology conservation EPB with trainings on fire safety and species protection. Impact on Physical Damage to nearby • Proper transportation management which separate the peak hours for Contractor CWE, socio- Cultural cultural relics or material transportation and tourist travelling to neighboring tourist spots. Project economic Resources tourist spots • Speed up construction process, as far as possible and reasonable, for Company, resources sections on existing road sections. EPB • If an unknown physical cultural resource is detected, stop works immediately and notify local government and associate agencies. Health and Occupational Prepare environmental, health and safety plan which complies with PRC Contractor CWE, safety health and safety State Administration of Worker Safety Laws and Regulations, including: Project • Supply sufficient clean fresh water for construction sites, camps, and Company, offices. EPB • Sufficient latrines and other sanitary arrangements at construction sites and work camps. • Provide sufficient garbage receptacles and regular emptying. • Provide personal protection equipment and clothing (goggles, gloves, respirators, dust masks, hard hats, steel-toed boots, safety harnesses, etc.) for construction workers and enforce their use. • Prepare emergency response plans for accidents. Establish emergency phone links with township hospitals and maintain a first-aid base in each construction site.

85 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency • Establish a records management system for occupational accidents, disease, and incidents. The records will be reviewed during compliance monitoring and audit. • Train all workers in basic sanitation, health and safety matters, and work hazards. Community health • Residents and businesses will be informed in advance through media Contractor CWE, and safety and information boards of the construction activities, dates, and duration Project of expected disruption. Company • Signs will be placed at construction sites informing people of the project GRM, potential dangers (e.g. moving vehicles, hazardous materials, and excavations) and safety issues. • Heavy machineries will not be used during night time. • All sites will be secured from unauthorized public access. • For residential areas next to construction site, ensure residents are aware of the duration and nature of works, as well as potential hazards. Provide basic safety equipment if required, such as acoustic screens. Operation Phase Employment Impact on Local employment • CWE shall ensure priorities are given to local communities for Operators CWE, opportunities local rate employment opportunities. Project communities Company, EPB Impact on Impact on Risk of accidental • All wastewater generated on-site, including from sludge dewatering, will Operators CWE, physical water quality discharge, be collected and transported through the wastewater pipelines within a Project resources overload, closed process, and delivered directly to the sub-projects’ wastewater Company, emergency treatment plants which will not cause any adverse impacts on the EPB preparedness and surrounding environment. response • Regular inspection of pipelines and timely repair of ruptured areas will be conducted. • In case of accidental spilling into water bodies. Emergency response mechanisms are set, which halts the plant operation and prevents supplying polluted water to end users. • Water intake and tail water samples will be regularly sampled and sent to the local environmental monitoring station for testing, to ensure the accuracy of the online monitoring device installed within the sub-projects. • Enhance management and education of staff at the water source protection zone, increase environmental protection awareness of water

86 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency source protection zone, and place warning signs at water sources boundaries and all construction sites. Impact on air Odor from • Equip odor generating facilities with enclosures, ventilation and Operators CWE, quality wastewater and deodorizing systems. Project sludge • Institute regular check, repair and maintenance of all treatment facilities Company, EPB and equipment. Emissions from • Strengthen the management of driveways and parking facilities within Operators CWE, vehicles project sites to reduce traffic congestion and vehicle speed, minimizing Project the emission of nitrogen oxides, carbon monoxide, hydrocarbons and Company, EPB other pollutions. Impact on Increase of noise • Shock absorbers and sound insulators will also be installed at locations Operators CWE, acoustic level from with significant noise sources, such as draught fans and blowers room, Project environment equipment to reduce vibrations and noise. Company, • Rubber road humps will be installed within the driveways of sub-projects EPB and car horns are prohibited. Reduce speed of vehicles on site to minimize noise impacts. • Greenery within the project sites will be strengthened, especially at locations near facilities with significant noise impacts. Solid Waste Sludge • The sludge moisture content will be below 50% after dehydration and the Operators CWE, dewatered sludge will be sent to Guiyang municipal sanitary landfill on a Project regular basis. Company, Municipal Solid • Municipal solid waste generated will be sent to the local sanitation EPB Waste department for unified treatment. • Recycling bins will be provided within the project sites and all collected domestic waste will be sealed with large plastic garbage bags. • The waste collection points will be disinfected to kill pests, in order to prevent the spreading of stench and the breeding of mosquitoes. Hazardous Waste • Hazardous Waste generated such as waste oils and waste lubricants will be distributed to qualified hazardous waste treatment centres regularly for unified collection and treatments. Social Health and Health and safety • Compulsory use of safety equipment and clothing as necessary (e.g. Operators CWE, Safety of operating staff non-slip boots, chemical resistant clothing, safety goggles, respiratory Project mask). Company, EPB

87 Item Impact Factor Potential Impacts Mitigation Measures and/or Safeguards Implementing Supervising and Issues Agency Agency • Safety instructions for storage, transport, handling or pouring of chemicals. • Check electrical equipment for safety before use; verify that all electric cables are properly insulated; take faulty or suspect electrical equipment to a qualified electricity technician for testing and repair. • All workers will undergo periodic examinations by occupational physician to reveal early symptoms of possible chronic effects or allergies. • Health and safety will be incorporated into the regular staff training programs. • All workers are required to obey all safety instructions concerning entry into confined spaces, e.g., check atmosphere for oxygen or for poisonous gases, use respiratory protection equipment if needed, have a co-worker stand guard in case of need for help. Emergency All areas Sub-project • Prepare emergency preparedness and response plan for all sub-projects. Operators CWE, preparedness maintenance and The plan will include staff training, resources, responsibilities, Project and response health and safety of communication, procedures, and other aspects required to respond Company, surrounding effectively to emergencies. EPB residents Unexpected All areas All areas • If unexpected environmental impacts occur during project operations, Operators CWE, Impacts inform the operators immediately; assess the impacts; and update the Project ESMP. Company, EPB ADB = Asian Development Bank, CSC = Construction Supervision Company; CWE = China Water Environment Group Limited; EPB = Environmental Protection Bureau; DI = design institute, PESM = Project Environmental and Social Manager, PESMT = Project Environmental and Social Management Team.

88 The cost of building and maintaining the mitigation measures included in the infrastructure construction and operating costs, and therefore, are not being double-counted as part of the ESMP costs. The temporary measures, especially those listed in the construction phase, such as dust suppression measures, will need to be included in the tender documents, otherwise they are not budgeted by the contractor. The cost of the measures are included in the ESMP and are listed in the table below.

Table ESMP-2 Environmental & Social Mitigation Measures Implementation Cost Estimates Item Aspects Source Mitigation Measures Cost Estimate (Unit 10,000 CNY) Soil Erosion Construction • Visual inspection at stockpile, temporary Management time of Sites storage area, and all construction sites, the Project especially roadsides and pipelines. Company Dust • Regular cleaning of vehicles and dust in Management time of Management the construction site. the Project • Water spraying on the road surface. Company Construction • Reusing wastewater after ≤ 25 in total Wastewater sedimentation. Noise • Avoiding heavy works during night time. Management time of • Avoid processing construction materials the Project near sensitive areas. Company Solid Waste • Provide sufficient garbage bins on site and have the solid waste collected regularly by local hygiene departments. • Provide sufficient hazardous waste containers, assign a designated location ≥ 5 in total for storing the hazardous waste (away from other waste or stockpiled materials), and have qualified hazardous waste collector to clear the waste regularly. Contractors • Contractors must be able to provide selection proper skill set in order to have their operation and service license. • Contractors are required to deposit guarantee fee (2% of the contract amount) in the special bank account of local labour bureau. • Civil works contractors shall hire workers from the local community as far as Management time of possible. the Project • CWE shall select contractors who have Company good track records on environmental, health and safety and compliance with the national labour laws (minimum wages, hours worked, benefits, prohibition of child labour and forced labour, etc.). • Contractors and subcontractors shall always maintain workers camps management rules. Air Dredging • Transfer spoils to disposal site spoils immediately after dewatering in fully- ≥ 5 in total Construction Phase Construction Phase enclosed vehicles Wastewater WWTP, • Regular sampling and testing of water intake and tail water ≥ 50 in total per year • Regular inspection and maintenance of pipeline Noise Production • Installation of noise insulation facilities equipment in the plant. • Installation of vibration reduction ≥ 50 in total measures in the equipment with moving parts. OperationPhase Air WWTP • Installation of deodorizing systems ≥ 50 per WWTP

89 Item Aspects Source Mitigation Measures Cost Estimate (Unit 10,000 CNY) • Implementation of traffic control measures to minimize the dispersion of dust Waste WWTP • Disposal to sanitary landfill after sludge ≥ 50 per year dewatering. Local Entire project • CWE shall ensure priorities are given to Management time of employment rate local communities for employment the Project opportunities. Company ESMP Construction • Update / re-confirm ESMP, roles and Implementation sites, WWTP, responsibilities, monitoring, supervision and Office and reporting procedures. Management time of • Training period: 2 x 0.5 days (once prior the Project to and once after one year of project Company implementation). • No. of Persons: 16. GRM • Roles and responsibilities, procedures, and review of experience (after 12 months). Management time of • Training period: 2 x 0.5 days (once prior the Project to and once after one year of project Company implementation). • No. of Persons: 16. Environmental • Pollution control on construction sites Monitoring and WWTP (air, noise, wastewater, Management time of solid waste). the Project • Training period: 1 day (during project Company implementation). • No. of Persons: 20. Occupational • General health and safety matters, Health and basic sanitation and health care issues, Management time of Safety and workplace hazards. the Project • Training period: 1 day (once prior to Company project implementation). Training • No. of Persons: 16.

4. Environmental Inspection, Monitoring and Reporting

An environmental impact monitoring program was specifically designed for this project, defining the requirements on the scope, location, parameter, duration and frequency of monitoring during operational stages.

During construction, the CSC (Construction Supervision Company) will be required to conduct (i) frequent internal noise and (ii) air quality monitoring around construction sites and (iii) to report monitoring results in the framework of their monthly progress reports to Project Company. During operation, daily monitoring of wastewater treatment performance will be conducted by the operator of the facilities in compliance with PRC regulation.

Periodic monitoring events will also be conducted by the local environmental authorities in the framework of their legal mandate to check compliance with applicable environmental regulations. They will be responsible for undertaking regular and random environmental monitoring and inspection activities before, during, and after construction as well as during emergency events.

The environmental impact monitoring program for each subproject is listed from

90 Table ESMP-3 to Table ESMP-6:

91 Table ESMP-3 Environment Monitoring Plan – Jinyang Wastewater Treatment Plant Phase 2 Type Monitoring Location Monitoring Items Monitoring Frequency During Construction Air At the construction boundary TSP Once per month during that on downwind direction construction period Noise Boundaries of all construction Equivalent continuous A 2 (1 in daytime, 1 in night sites sound level time) samples at each boundary; once per month during construction period Domestic Effluent from worker camp pH, BOD5, CODcr, SS, TN, Quarterly during wastewater sites NH3-N, TP, fecal coliform construction Construction Effluent from separation tank SS, pH, petroleum Quarterly during wastewater construction Soil erosion Construction site Check the implementation Quarterly during of soil erosion protection construction measures defined in Table ESMP-1. Health and Construction site and related Record of safe manhours, Daily (contractor) Safety activities accidents/incident reports Weekly unless there is an incident (CWE) During Operation Air Canteen cooking fume Cooking Fume Once per year

Odor Control air-vent H2S, NH3, Odor 4 times per year Concentration Plant boundary H2S, NH3, Odor 4 times per year at the Concentration north, east, south and west sides of the site boundary Noise 1m outside of plant Equivalent continuous A 2 (1 in daytime, 1 in night sound level time) samples at the north, east, south and west sides of the site boundary, 4 times per year Wastewater inlet and outlet Water temperature, pH, BOD, SS, Oil and Grease, BOD5, CODcr, SS, TN, Petroleum, LAS, TN, TP, NH3-N, TP, fecal coliform, Chromaticity, Fecal petroleum, oil and grease, Coliform, Total Mercury, Linear Alklybenzene sulfate Total Cadmium, Total (LAS), TN, TP, Chromium, Chromium VI, Chromaticity, total mercury, Total Arsenic, Total Lead, total cadmium, total Methyl Mercury, Ethyl chromium, Chromium VI, Mercury Once per month Total Arsenic, total lead, Methyl Mercury, Ethyl Mercury. Sludge N/A Heavy Metals (Zn, Cd, Ni, 2 times per year As, Hg, Pb, Cr, Cu, etc.). Health and Subprojects operational Site hazards Daily Safety facility Record of safe manhours, Weekly accidents/incident reports

Table ESMP-4 Environment Monitoring Plan – Jinbai Wastewater Treatment Plant Type Monitoring Location Monitoring Items Monitoring Frequency During Construction Air At the construction boundary TSP Once per month during that on downwind direction construction period Noise Boundaries of all construction Equivalent continuous A 2 (1 in daytime, 1 in night sites sound level time) samples at each boundary; once per month during construction period Domestic Effluent from worker camp pH, BOD5, CODcr, SS, TN, Quarterly during wastewater sites NH3-N, TP, fecal coliform construction Construction Effluent from separation tank SS, pH, petroleum Quarterly during wastewater construction

92 Type Monitoring Location Monitoring Items Monitoring Frequency Soil erosion Construction site Check the implementation Quarterly during of soil erosion protection construction measures defined in Table ESMP-1. Health and Construction site and related Record of safe manhours, Daily (contractor) Safety activities accidents/incident reports Weekly unless there is an incident (CWE) During Operation Air Canteen cooking fume Cooking Fume Once per year

Odor Control air-vent H2S, NH3, Odor 4 times per year Concentration Plant boundary H2S, NH3, Odor 4 times per year at the Concentration north, east, south and west sides of the site boundary Noise 1m outside of plant Equivalent continuous A 2 (1 in daytime, 1 in night sound level time) samples at the north, east, south and west sides of the site boundary, 4 times per year Wastewater inlet and outlet Water temperature, pH, BOD, SS, Oil and Grease, BOD5, CODcr, SS, TN, Petroleum, LAS, TN, TP, NH3-N, TP, fecal coliform, Chromaticity, Fecal petroleum, oil and grease, Coliform, Total Mercury, Linear Alklybenzene sulfate Total Cadmium, Total (LAS), TN, TP, Chromium, Chromium VI, Chromaticity, total mercury, Total Arsenic, Total Lead, total cadmium, total Methyl Mercury, Ethyl chromium, Chromium VI, Mercury Once per month Total Arsenic, total lead, Methyl Mercury, Ethyl Mercury. Sludge N/A Heavy Metals (Zn, Cd, Ni, 2 times per year As, Hg, Pb, Cr, Cu, etc.). Health and Subprojects operational Site hazards Daily Safety facility Record of safe manhours, Weekly accidents/incident reports

Table ESMP-5 Environment Monitoring Plan – Nanming River Riverbank Interception Channels and Grit Chamber Project Type Monitoring Location Monitoring Items Monitoring Frequency During Construction Air At the construction boundary TSP Once per month during that on downwind direction construction period Noise Boundaries of all construction Equivalent continuous A 2 (1 in daytime, 1 in night sites sound level time) samples at each boundary; once per month during construction period Domestic Effluent from worker camp pH, BOD5, CODcr, SS, TN, Quarterly during wastewater sites NH3-N, TP, fecal coliform construction Construction Effluent from separation tank SS, pH, petroleum Quarterly during wastewater construction Soil erosion Construction site Check the implementation Quarterly during of soil erosion protection construction measures defined in Table ESMP-1. Health and Construction site and related Record of safe manhours, Daily (contractor) Safety activities accidents/incident reports Weekly unless there is an incident (CWE) During Operation Air Odor Control air-vent H2S, NH3, Odor 4 times per year Concentration

Plant boundary H2S, NH3, Odor 4 times per year at the Concentration north, east, south and west sides of the site boundary

93 Type Monitoring Location Monitoring Items Monitoring Frequency Noise 1m outside of plant Equivalent continuous A 2 (1 in daytime, 1 in night sound level time) samples at the north, east, south and west sides of the site boundary, 4 times per year Wastewater inlet and outlet Water temperature, pH, BOD, SS, Oil and Grease, BOD5, CODcr, SS, TN, Petroleum, LAS, TN, TP, NH3-N, TP, fecal coliform, Chromaticity, Fecal petroleum, oil and grease, Coliform, Total Mercury, Linear Alklybenzene sulfate Total Cadmium, Total (LAS), TN, TP, Chromium, Chromium VI, Chromaticity, total mercury, Total Arsenic, Total Lead, total cadmium, total Methyl Mercury, Ethyl chromium, Chromium VI, Mercury Once per month Total Arsenic, total lead, Methyl Mercury, Ethyl Mercury. Sludge N/A Heavy Metals (Zn, Cd, Ni, 2 times per year As, Hg, Pb, Cr, Cu, etc.). Health and Subprojects operational Site hazards Daily Safety facility Record of safe manhours, Weekly accidents/incident reports

Table ESMP-6 Environment Monitoring Plan – Huaxi River Water Environment Integrated Management Project Type Monitoring Location Monitoring Items Monitoring Frequency During Construction Air At the construction TSP Once per month during boundary that on construction period downwind direction, Noise Boundaries of all Equivalent continuous A sound 2 (1 in daytime, 1 in night construction sites level time) samples at each boundary; once per month during construction period Domestic Effluent from worker pH, BOD5, CODcr, SS, TN, NH3- Quarterly during wastewater camp sites N, TP, fecal coliform construction Construction Effluent from separation SS, pH, petroleum Quarterly during wastewater tank construction Soil erosion Construction site Check the implementation of soil Quarterly during erosion protection measures construction defined in Table ESMP-1. Health and Construction site and Record of safe manhours, Daily (contractor) Safety related activities accidents/incident reports Weekly unless there is an incident (CWE) During Operation Air Odor Control air-vent H2S, NH3, Odor Concentration 4 times per year

Plant boundary H2S, NH3, Odor Concentration Once per year

Noise 1m outside of plant Equivalent continuous A sound 2 (1 in daytime, 1 in night level time) samples at each boundary, 4 times per year Surface Water Huaxi River (inlets of pH, BOD5, CODcr, SS, TN, TP, 1 sample, 3 times per Biyunwo Waterworks and NH3-N, Petroleum, DO year Zhongcao Waterworks) Health and Subprojects operational Site hazards Daily Safety facility Record of safe manhours, Weekly accidents/incident reports

94 Figure ESMP-1 Sampling Points for Surface Water Quality Monitoring at Huaxi River

Zhongcao Waterworks

Biyunwo Huaxi River Water Waterworks Environment Integrated Management Project

Source: EIA Report for Huaxi River Water Environment Integrated Management Project, 2017.

Environmental acceptance monitoring and reporting. Within three months after construction completion, or no later than 1 year with permission of the local EPB, environmental acceptance monitoring and audit report of completion of project shall be: (i) prepared by a licensed environmental monitoring institute in accordance with the PRC Regulation on Project Completion Environmental Audit (MEP, 2001), and (ii) reviewed for approval of the official commence of individual component operation by environmental authorities. The environmental acceptance reports will indicate the timing, extent, effectiveness of completed mitigation and of maintenance, and the needs for additional mitigation measures and monitoring during operations.

95 Table ESMP-7 Proposed Project "Three-Simultaneity” Environmental Protection Inspection Checklist No Type Treatment Inspection Scope Requirements 1 Wastewater Water reclamation Plant BOD5, CODcr , SS, Effluent shall comply with local processes TN, NH3-N, TP, discharge standard Fecal Coliform, (DB11/890-2012) and reuse Petroleum standard GB/T18920-2002, GB/T 18921-2002) 2 Noise Use of low noise equipment Equivalent Noise at boundary shall and various noise reduction continuous A sound comply with Emission practices. level Standard of Environment Noise for Boundary of Construction Site (GB12348- 2008) Class I standard. 3 Solid Waste collection classification, Domestic waste Removal rate shall be 100% Waste collection and transportation by environmental and health department Dewatered sludge (water Sludge residual content lower than 60%) are disposed to local sanitary landfill Handled by qualified chemical Hazardous waste collection company chemical waste 4 Others Leak control for wastewater Leak control project Meet design requirement, no process buildings leakage is allowed. Dust control, waterproof Sludge bank practice, floor hardening and leak control Plant shall have risk control Risk Control Plan Meet risk control plan supplies and personnel, Implementation requirements management rules and regulations shall be provided for actions on incidents.

ESMP compliance reporting. CWE will report to ADB the environment compliance through annual environmental and social performance report, including the implementation of ESMP.

96

ATTACHMENT 2: ENVIORNMENTAL AUDIT REPORT

97

Environmental Audit of Subprojects under Nanming River Watershed Management Project Phase 2 – Stage 2

1. Subproject 1: Jinyang Wastewater Treatment Plant Phase 2

Site visit to Jinyang Wastewater Treatment Plant Phase 2 (“Jinyang WWTP Phase 2”) was carried out on 19 December 2017. The due diligence team interviewed with Manager of the Jinyang WWTP Phase 1 and Phase 2, Mr. JIANG Chongde and his team. Site visit photo log can be found at the end of this section.

1.1. Location Jinyang WWTP Phase 2 is located in the Guanshanhu District of Guiyang City. Location map and plant layout of the Jinyang WWTP Phase 2 are shown in Figure 1 and Figure 2 respectively.

1.2. Subproject Description Jinyang WWTP Phase 2 is designed with a capacity of 100,000 m3/day in the long term (by 2030), in which 50,000 m3/day will be ensured by 2020. The WWTP has a land area of 43 mu, and is located at the north of the Phase 1 site. The construction of the WWTP began on 15 December 2015 and the plant commenced trial operation in July 2017. It is expected to commence commercial operation in the first half of 2018.

Figure 1 Location Map of Jinyang Wastewater Treatment Plant Phase 2

Hefei Road

Changling S Road

Beijing W Road

Jinyang WWTP

Lisu Road

Jinyang S Road

Source: www.tianditu.com, 2018.

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Figure 2 Plant Layout of Jinyang Wastewater Treatment Plant Phase 2

Source: Feasibility Study Report, 2015.

1.3. Environment

1.3.1. Environmental Assessment

EIA and EMP An EIA Table (or Simplified EIA) was prepared for the Jinyang WWTP Phase 2. The EIA Report was prepared in January 2016, and subsequently approved by the Guiyang Environmental Protection Bureau (Guiyang EPB) on 29 February 2016.

According to Mr. Jiang, Jinyang WWTP Phase 2 will employ third parties to conduct regular on site environmental monitoring for the project.

Site Information Jinyang WWTP Phase 2 comprises of the following wastewater treatment systems:

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• Coarse screen • Fine screen • Modified A2/O • Sedimentation • High-rate clarification • Chlorine dioxide disinfection

The Project shares the same wastewater inlet, intercepting wells, coarse screen, and sludge dewatering room with the Phase 1 plant.

All sludge produced at Jinyang WWTP is dewatered at its sludge dewatering room to less than 80% water content, before it is transferred to Xinzhuang WWTP for further sludge dewatering and subsequently disposed of at the Gaoyang Sanitary Landfill.

Jinyang WWTP Phase 2 is also equipped with an odor removal system that treats the extracted air from the screening area and sludge dewatering plant room before being discharged into the atmosphere. Odor is treated by the use of biological deodorization.

Status of Compliance with Local, National and Regulatory Requirements The wastewater treatment plant was approved by Guiyang Development and Reform Commission on 17 August 2015, the EIA was approved by Guiyang EPB on February 2016 and the construction permits was obtained from Guiyang Housing and Urban Rural Construction bureau on 13 April 2017.

The wastewater treatment plant has completed testing and commissioning procedures and is currently under trial operation. Once environmental acceptance tests are completed, discharge permit will be applied. As observed on site, there were some remaining pavements and finishing works to be completed. It is expected to commence commercial operation in the first half of 2018.

The construction and operation of Jinyang WWTP Phase 2 has to comply with the following standards:

Construction Stage

• Air and Odor: Ambient air quality in the vicinity of the site should comply with Class II of “Ambient Air Quality Standards (GB3095-2012)”. Air emission on site during construction stage should comply with Table 2 Class II of “Integrated Emission Standards of Air Pollutants (GB16297-1996)”;

• Water: Surface runoff from the construction site should be treated via sedimentation treatment and meet Class III of “Integrated Wastewater Discharge Standards (GB8978-1996)” before discharging to the sewage network. All wastewater generated from the construction site should be collected and reused after treatment. Domestic wastewater should be treated at the Jinyang WWTP Phase 1;

• Noise: Ambient noise level in the vicinity of the site should comply with “Environmental Quality Standard for Noise (GB3096-2008)”. On site, noise level should comply with “Emission Standard of Environment Noise for Boundary of Construction Site (GB12523-2011)” during construction stage; and

• Solid Waste and Construction Waste: Handling and disposal of general refuse should comply with “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889-2008)”. Construction waste should be reused whenever possible, while the remaining should be disposed of at Wuguan Disposal Facility.

Operation Stage

• Air and Odor: Ambient air quality in the vicinity of the site should comply with “Integrated Emission Standards of Air Pollutants (GB16297-1996)”. Air emission on site during operation stage should comply with Table 4 Class II of “Emission Standards for Environmental Pollutants

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in Guizhou Province (DB52/864-2013)”. Odor level should comply with Class II of “Municipal Wastewater Treatment Plant Pollutant Discharge Standards (GB18918-2002)”;

• Water: Effluent discharge to the Shixi River should comply with Class IV of “Surface Water Quality Standards (GB3838-2002) for COD and NH3-H levels while the remaining indicators should comply with Class IA of “Municipal Wastewater Treatment Plant Pollutant Discharge Standards (GB18918-2002)”;

• Noise: Ambient noise level in the vicinity of the site should comply with Class II of “Noise Limit of Industrial Enterprises (GB12348-2008)”; and

• Solid Waste and Sludge: Handling and disposal of general refuse and sludge should comply with “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889- 2008)”. Disposal of sludge should also comply with “Municipal Wastewater Treatment Plant Pollutant Discharge Standards (GB18918-2002)”.

Based on our site visit, as well as the EPC environmental monitoring report and the latest monthly construction monitoring report provided by CWE, Jinyang WWTP Phase 2 appears to comply with the local national and regulatory requirements.

Status of Compliance with Applicable World Bank and Other Requirements and International Standards

No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) 1. Environmental ▪ Environmental Impact An EIA Table was prepared in January 2016 and Impact Assessment Assessment Law of PRC the EIA approval was obtained from Guiyang ▪ ADB SPS 2009 for EPB on February 2016. environment Category B Gaps identified: projects None. 2. Environmental ▪ Management Measures Environmental acceptance of completed facilities Acceptance on Environmental has not been conducted yet, as the project was Acceptance of Completed still in construction and has just completed testing Construction Projects and commissioning procedures as of the date of site visit. Gaps identified: CWE should apply for the environmental acceptance tests as soon as construction of Jinyang WWTP Phase 2 is completed. 3. Operation Permits ▪ Environmental Protection Jinyang WWTP Phase 2 has not obtained and Licenses Law of PRC discharge permit yet as the environmental ▪ Water Pollution acceptance tests have not been conducted. Protection Law Gaps identified: ▪ Discharge Standard of Pollutants for Municipal CWE should apply the discharge permit after Wastewater Treatment passing the environmental acceptance tests. Plant (GB 18918-2002) ▪ Environmental Quality Standards for Surface Water (GB3838-2002) 4. Air emissions (odor, ▪ Air Pollution Prevention The air emissions of the wastewater treatment greenhouse gases and Control Law of PRC plant is required in the environmental monitoring and dust) ▪ Ambient Air Quality plan. According to Mr. Jiang, air quality Standards (GB3095- monitoring will be conducted regularly to ensure 2012) compliance with the air quality standards. ▪ Integrated Emission Biological deodorization units were installed at Standards of Air

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) Pollutants (GB16297- Jinyang WWTP Phase 2 to treat the odorous air 1996) extracted. ▪ Municipal Wastewater According to the Construction Stage Treatment Plant Pollutant Environmental Monitoring Report, mitigation Discharge Standards (GB18918-2002) measures were in place and the plant’s air emissions are in compliance with the national ▪ Emission Standards for standards. Environmental Pollutants in Guizhou Province Gaps identified: (DB52/864-2013) None. ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 5. Wastewater ▪ Water Pollution According to the EIA Table, the discharged discharge Prevention and Control effluent is required to meet Class IV of GB 3838- Law of PRC 2002 for COD and NH3-H and Class IA of GB ▪ Integrated Wastewater 18918-2002 before discharging to the Shixi River. Discharge Standard The effluent quality of the Jinyang WWTP Phase (GB8978-1996) 2 will be monitored at the water outlet of the plant ▪ Discharge Standard for area. An online monitoring system will also be Municipal Wastewater used to monitor the water quality. Treatment Plant (GB18918-2002) According to the Construction Stage ▪ Environmental Quality Environmental Monitoring Report, mitigation Standards for Surface measures were in place and the plant’s effluent Water (GB3838-2002) discharge is in compliance with the national ▪ ADB SPS 2009 standards. ▪ WBG EHS Guidelines Gaps identified: None. 6. Noise Impact ▪ PRC Law for the According to the EIA Table, noise generated by Prevention and Control of the Project has to comply with GB12523-2011 Environmental Noise during construction phase and Class II standard Pollution of GB12348-2008 during operation phase. ▪ Environmental Quality According to Mr. Jiang, noise monitoring will be Standard for Noise conducted regularly to ensure compliance with (GB3096-2008) the environmental quality standards. ▪ Emission Standard of According to the Construction Stage Environment Noise for Environmental Monitoring Report, mitigation Boundary of Construction Site (GB12523-2011) measures were in place and the plant’s noise impact is in compliance with the national ▪ Emission Standard of standards. Industrial Enterprises Noise (GB12348-2008) Gaps identified: None. 7. Waste management ▪ Law of the People's According to the EIA Table, general refuse (including municipal Republic of China on the produced at the plant during construction and solid waste and Prevention and Control of operation stages is collected by the city’s sludge handling) Environmental Pollution environmental sanitation department and Caused by Solid Wastes disposed of at the Gaoyan Sanitary Landfill. (2015) Construction waste should be reused whenever ▪ Discharge Standard for possible, while the remaining should be disposed Municipal Wastewater of at the Wuguan Disposal Facility. Treatment Plant (GB18918-2002) Sludge generated from the treatment process will ▪ Disposal of Sludge from be dewatered to below 80% water content, and Municipal Wastewater delivered to the Sludge Treatment Centre at Treatment Plant – Quality Xinzhuang WWTP Phase 1 for further treatment of Sludge for Co- dewatering to below 60% water content. The

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) landfilling (GB/T23485- stabilized and dewatered sludge should comply 2009) with GB18918-2002 and GB/T23485-2009 prior ▪ WBG EHS Guidelines to disposal at the Gaoyan Sanitary Landfill. According to the Construction Stage Environmental Monitoring Report, mitigation measures were in place and the plant’s waste management is in compliance with the national standards. Gaps identified: None. 8. Hazardous materials ▪ Catalogue of Hazardous According to EIA Table, hazardous materials (use of chemicals) Chemicals should be properly stored, and hazardous waste ▪ Measures for the should be handled by registered waste collection Prevention and Control of companies for proper disposal. Environment Pollution by Gaps identified: Discarded Dangerous Chemicals None ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 9. Occupational Health ▪ PRC Law on Work Safety Health and safety policies are in place. Health & Safety (2014) and safety trainings have been provided to all site ▪ Technology Code of workers. Poison Control for During the site visit, it was observed that PPEs Municipal Wastewater provided to site workers appear to be reasonable. Treatment Plant AQ Warning signs were displayed throughout the 4209-2010 plant area, listing out the potential hazard and ▪ ADB SPS 2009 required protection equipment. Live-saving rings ▪ WBG EHS Guidelines were also provided at the tank area, but it would be better if more could be provided. Gaps identified: In general, the occupational health and safety of the facility is in line with industry standard in China. The only recommendation is to increase the no. of live-saving rings at the tank area. 10. Community Health & ▪ Environmental Protection Based on the EIA Report, the safety buffer zone Safety Law of PRC is set at 100m from the site boundary. It was ▪ Standards for the observed that there were new developments Construction of Municipal nearby, but according to satellite map, it appears Wastewater Treatment to be more than 100m away from the WWTP. Project CJJ-01 Hence, there were no sensitive receivers located ▪ ADB SPS 2009 within the buffer zone. ▪ WBG EHS Guidelines Gaps identified: None. 11. Application and ▪ ADB SPS 2009 A corporate-wide ESMS will be implemented, adoption of ▪ WBG EHS Guidelines covering topics such as incidents reporting, safety corporate EHS training, regular inspections, appraisals and policies and meetings, etc. practices ESMS training will be provided to the environmental and safety specialists, and subsequently to all employees in the project companies. Gaps identified:

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) It is recommended that CWE implement an Operation Manual that incorporates all EHS requirements specific to the subproject. 12. Environmental ▪ ADB SPS 2009 According to Mr. Jiang, regular environmental Management Plan monitoring will be conducted during operational (including phase. According to the Construction Stage contractors / sub- Environmental Monitoring Report, environmental contractors’ mitigation measures were in place and in construction / site compliance with the national standards. specific EMP) Gaps identified: It is recommended that CWE shall incorporate the environmental mitigation measures into the Operation Manual of Jinyang WWTP Phase 2 before commercial operation commences. 13. Contingency and ▪ Emergency Response Emergency response plan for Jinyang WWTP is Emergency Law of the People's in place, which covers topics such as power Response Plan Republic of China shortage, system failure and other environmental ▪ ADB SPS 2009 incidents, etc. ▪ WBG EHS Guidelines Regular drills and inspections are indicated in the emergency response plans. Gaps identified: None. 14. Staff Certifications ▪ Provisions on Safety According to Mr. Jiang, internal training, such as and Trainings Training of Production work hazards, safety production, and and Operation Entities management policies, etc., has been provided to ▪ ADB SPS 2009 all staff. ▪ WBG EHS Guidelines Gaps identified: As the wastewater treatment plant is still undergoing trial operation, operational and EHS guidelines are not available. These documents should be ready, and provide trainings to all site staff prior to commencement of commercial operation. Training records should also be kept on site. 15. Community ▪ Environmental Protection One public consultation was conducted in August Consultation Law of PRC 2015 to address concerns from the APs. ▪ Guideline on Public The APs, representatives of Jinyang Village Participation in Committee, CWE, and officials from LRB Environmental Protection participated in the consultation meeting. Results ▪ ADB SPS 2009 of the DMS were confirmed and signed by the APs, where representatives from the LRB, CWE and village committee had also endorsed and signed the DMS. Compensation had been directly paid to each APs. Gaps identified: None.

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Application of Corporate EHS and Policies, Practices and Management, Staff Training and Supervision by Subproject All staff are regularly trained under the company’s training programme on topics such as safety operation, emergency response procedures, and management policies, etc. The records are kept on file. PPEs are also provided to employees working on site.

Implementation of EHS Measures by Subproject CWE will implement a corporate ESMS that highlights its EHS policies and practices. All the subprojects, including Jinyang WWTP Phase 2, will have to follow the requirements set out in the ESMS, including setting up the environmental and social management committee and fulfilling the environmental and social management requirements during different phases of the project (e.g. feasibility study and bidding, preliminary design, construction and operation, etc.). Operators and contractors are expected to adhere to the company’s ESMS and emergency response plan.

Relevant Environmental Issues, Impacts, Risks and Affected Environmental Resources The buffer zone of wastewater treatment plant is 100m from the site boundary. According to the EIA report, no sensitive receiver is present within the buffer zone. Satellite map images show that the new developments nearby is outside of the buffer zone.

The wastewater treatment plant is equipped with deodorization unit, thereby reducing environmental impact to the surrounding area. The odor level at site boundary shall meet Grade 2 emission standards stipulated in GB18918-2002 and the noise level at site shall meet Grade 2 of GB12348- 2008.

Occupational health and safety impacts Health and safety policies are in place. Health and safety trainings have been provided to all site workers. An emergency response procedure detailing the handling practices for each relevant emergency is also in place. According to Mr. Jiang, no occupational accidents or injuries had occurred.

Information disclosure, consultation and participation One public consultation was conducted in August 2015. The affected peoples, representatives from the village committee, CWE, and officials from LRB had participated in the consultation meeting.

Complete appeal and grievance system for Jinyang WWTP Phase 2 is in place.

1.3.2. Environmental Management Plan

EMP and Mitigation Measures According to Mr. Jiang, regular monitoring events for the effluent quality will be conducted by qualified third parties. Air quality and odor monitoring will also be conducted regularly.

Subproject’s Contingency and Emergency Response Plan Jinyang Wastewater Treatment Plant Phase 2 adheres to the following emergency response plans:

• Guizhou Jinyang Wastewater Treatment Plant Emergency Environmental Contingency Plans (贵州市金阳 污水处理厂突发环境事件应急预案)

Other Supplemental Plans and Environmentally Related Plans

For social audit of the sub-project, refer to Attachment 3 of this IESE.

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Site Visit Photo Log

Outlook of Jinyang WWTP Phase 2. Caution/warning signs are placed on site and appear to be reasonable. Live-saving rings are also placed on site, but better if more could be provided.

Screening and sludge dewatering areas were Curtains and ventilation connecting to odor enclosed and equipped with ventilation and treatment unit should be provided at the sludge connected to odor treatment unit. collection area to minimize odor emission.

Slope adjacent to Jinyang WWTP Phase 1 and New developments nearby Jinyang WWTP Phase 2 was stabilized for safety reason. Phase 2.

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Construction material was stored in a Construction workers are provided with designated area on site. Personal Protection Equipment (PPE).

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2. Subproject 2: Jinbai Wastewater Treatment Plant Site visit to Jinbai Wastewater Treatment Plant (Jinbai WWTP) was carried out on 19 December 2017. The due diligence team interviewed with Manager of Jinbai WWTP, Mr. JIANG Chongde, and his team. Site visit photo log can be found at the end of this section.

2.1. Location Jinbai WWTP is located in the northern region of Guanshanhu District. Location map and plant layout of Jinbai WWTP are shown in Figure 3 and Figure 4 respectively.

2.2. Subproject Description Jinbai WWTP has a land area of 59.9 mu, and is designed with a capacity of 240,000 m3/day, in which it is estimated that 30,000 m3/day of the plant will commence operation in 2018. The construction of the WWTP began on 20 Jaunary 2016. Trial operation for some facilities commenced in May 2017. It is expected to commence commercial operation in the second half of 2018. A sewage pipeline network (including pumping stations) of approximately 11.5 km in length along the Jinlong Road will also be constructed by 2018.

Jinbai WWTP will mainly collect wastewater from downstream areas of Nanmen River as well as Zhuchang Town and Changchong Village, which estimated to have a population of 150,000 in that service area in 2018. It is projected that the population in the service area will increase to 1,163,900 by 2030.

Figure 3 Location Map of Jinbai Wastewater Treatment Plant

Guiqian Highway

Maijia River

Jinbai WWTP

Ganchong

Source: www.tianditu.com, 2018.

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Figure 4 Project Layout of Jinbai Wastewater Treatment Plant

Source: Feasibility Study Report, 2015.

2.3. Environment

2.3.1 Environmental Assessment

EIA and EMP An EIA was conducted for Jinbai WWTP. EIA Table (or simplified EIA) was finalized in April 2017, and was subsequently approved by the Guiyang Environmental Protection Department on 24 April 2017.

According to Mr. Jiang, Jinbai WWTP will employ third parties to conduct regular on site environmental monitoring for the project.

Site Information

Jinbai WWTP comprises of the following wastewater treatment systems:

• Coarse screen • Fine screen • Fluidized Bed Bioreactor • Sedimentation • High-rate clarification • Chlorine dioxide disinfection

All sludge produced at Jinbai WWTP is dewatered at its sludge dewatering room to less than 80% water content, before it is transferred to the sludge treatment centre at Xinzhuang WWTP Phase 1 for further treatment and subsequently disposed of at the Gaoyang Sanitary Landfill. In the long term, when the onsite sludge treatment facility is constructed and commences operation, dewatered sludge will be transferred to the onsite sludge treatment facility instead of Xinzhuang WWTP Phase 1.

Jinbai WWTP is also equipped with an odor removal system that treats the extracted air from sludge dewatering plant room before being discharged into the atmosphere. Odor is removed by the use of biological deodorization.

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Status of Compliance with Local, National and Regulatory Requirements The wastewater treatment plant was approved by Guiyang Development and Reform Commission on 17 August 2015, the EIA was approved by Guiyang EPB on April 2017 and the construction permits was obtained from Guiyang Housing and Urban Rural Construction Bureau on 24 April 2017.

CWE has already completed the construction of the subproject sewage pipeline network and majority of the wastewater treatment process. Some parts of the WWTP, e.g. sand filter, are still under construction. While some facilities in Jinbai WWTP are currently under trial operation, Jinbai WWTP currently do not have sufficient wastewater to complete the trial operation as the government has not completed construction of the municipal sewage collection pipelines yet. Hence, full trial operation will only be able to commence after the municipal sewage collection pipelines are connected to the subproject sewage pipeline network. During the time of site visit, it was estimated that the wastewater treatment plant will commence commercial operation in the second half of 2018.

The construction and operation of the Jinbai WWTP has to comply with the following standards:

Construction Stage

▪ Air and Odor: Ambient air quality in the vicinity of the site should comply with Class II of “Ambient Air Quality Standards (GB3095-2012)”. Air emission on site during construction stage should comply with Table 2 Class II of “Integrated Emission Standard of Air Pollutants (GB16297-1996)”;

▪ Water: Surface runoff from the construction site should be treated via sedimentation treatment and meet Class I of “Integrated Wastewater Discharge Standards (GB8978-1996)” before discharging to the sewage network. All wastewater generated from the construction site should be collected and reused for irrigation after treatment;

▪ Noise: Ambient noise level in the vicinity of the site should comply with “Environmental Quality Standard for Noise (GB3096-2008)”. On site, noise level should comply with “Emission Standard of Environment Noise for Boundary of Construction Site (GB12523-2011)” during construction stage; and

▪ Solid Waste and Construction Waste: Handling and disposal of general refuse should comply with “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889-2008)”. Construction waste should be reused whenever possible, while the remaining should be disposed of at Wuguan Disposal Facility.

Operation Stage

▪ Air and Odor: Ambient air quality in the vicinity of the site should comply with Class II of “Ambient Air Quality Standards (GB3095-2012)”. Air emission on site and odor intensity at the site boundary during operation stage should comply with Table 5 Class II of “Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant (GB18918-2002)”, while odor emission after odor treatment on site should comply with “Emission Standards for Odor Pollutants (GB14554-93)”;

▪ Water: Effluent discharge to the Maijia River should comply with Class IV of “Surface Water Quality Standards (GB3838-2002) for COD and NH3-H levels while the remaining indicators should comply with Class IA of “Municipal Wastewater Treatment Plant Pollutant Discharge Standards (GB18918-2002)”;

▪ Noise: Ambient noise level in the vicinity of the site should comply with “Environmental Quality Standard for Noise (GB3096-2008)”. On site, noise level should comply with Class II of “Emission Standard of Industrial Enterprises Noise (GB12348-2008)” during operation stage; and

▪ Solid Waste and Sludge: Handling and disposal of general refuse and sludge should comply with “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889-

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2008)”. Disposal of sludge should also comply with “Municipal Wastewater Treatment Plant Pollutant Discharge Standards (GB18918-2002)”.

Based on our site visit and the latest monthly construction monitoring reports provided by CWE, Jinbai WWTP appears to comply with the local national and regulatory requirements.

Status of Compliance with Applicable World Bank and Other Requirements and International Standards

Concerned Item Relevant Regulation(s) Comments / Gaps Identified No. and/or Standard(s) 1. Environmental ▪ Environmental Impact An EIA was conducted for the wastewater Impact Assessment Assessment Law of PRC treatment plant. The EIA Table was finalized in ▪ ADB SPS 2009 for April 2017, and was subsequently approved on environment Category B 24 April 2017 by Guiyang EPB. projects Gaps identified: None. 2. Environmental ▪ Management Measures Environmental acceptance of completed facilities Acceptance on Environmental has not been conducted yet, as the project was Acceptance of Completed still in construction as of the date of site visit. Trial Construction Projects operation for some facilities commenced from 20 May 2017. Gaps identified: CWE should apply for the environmental acceptance tests as soon as construction of Jinbai WWTP is completed. 3. Operation Permits ▪ Environmental Protection Jinbai WWTP has not obtained discharge permit and Licenses Law of PRC yet as the environmental acceptance tests have ▪ Water Pollution not been conducted. Protection Law Gaps identified: ▪ Discharge Standard of Pollutants for Municipal CWE should apply the discharge permit after Wastewater Treatment passing the environmental acceptance tests. Plant (GB 18918-2002) ▪ Environmental Quality Standards for Surface Water (GB3838-2002) 4. Air emissions (odor, ▪ Air Pollution Prevention The air emissions of the wastewater treatment greenhouse gases and Control Law of PRC plant is required in the environmental monitoring and dust) ▪ Ambient Air Quality plan. Biological deodorization units were installed Standards (GB3095- at Jinbai WWTP and its booster pumping stations 2012) to treat the odorous air extracted. ▪ Integrated Emission According to Mr. Jiang, air quality monitoring will Standards of Air be conducted regularly to ensure compliance with Pollutants (GB16297- the air quality standards. 1996) ▪ Municipal Wastewater Gaps identified: Treatment Plant Pollutant None Discharge Standards (GB18918-2002) ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 5. Wastewater ▪ Water Pollution According to the EIA Table, the discharged discharge Prevention and Control effluent is required to meet Class IV of GB 3838- Law of PRC 2002 for COD and NH3-H, and Class IA of GB 18918-2002 before discharging to the Maijia River.

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▪ Integrated Wastewater The effluent quality of the Jinbai WWTP will be Discharge Standard monitored at the water outlet of the plant area. An (GB8978-1996) online monitoring system will also be used to ▪ Discharge Standard for monitor the water quality. Municipal Wastewater Gaps identified: Treatment Plant (GB18918-2002) None ▪ Environmental Quality Standards for Surface Water (GB3838-2002) ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 6. Noise Impact ▪ PRC Law for the According to the EIA Table, the noise generated Prevention and Control of by the Project has to comply with GB12523-2011 Environmental Noise during construction phase and Class II standard Pollution of GB12348-2008 during operation phase. ▪ Environmental Quality According to Mr. Jiang, noise monitoring will be Standard for Noise conducted regularly to ensure compliance with (GB3096-2008) the environmental quality standards. ▪ Emission Standard of Environment Noise for Gaps identified: Boundary of Construction Site (GB12523-2011) None. ▪ Emission Standard of Industrial Enterprises Noise (GB12348-2008) 7. Waste management ▪ Law of the People's According to the EIA Table, general refuse (including municipal Republic of China on the produced at the plant is collected by the city’s solid waste and Prevention and Control of environmental sanitation department and sludge handling) Environmental Pollution disposed of at the Gaoyan Sanitary Landfill. Caused by Solid Wastes Sludge generated from the treatment process will (2015) be dewatered to less than 80% water content, ▪ Discharge Standard for and delivered to Xinzhuang WWTP for further Municipal Wastewater treatment. The stabilized and dewatered sludge Treatment Plant should comply with GB18918-2002 and (GB18918-2002) GB/T23485-2009 prior to disposal at the Gaoyan ▪ Disposal of Sludge from Sanitary Landfill. In the long term, when the Municipal Wastewater onsite sludge treatment facility is constructed and Treatment Plant Quality – commences operation, dewatered sludge will be of Sludge for Co- transferred to the onsite sludge treatment facility landfilling (GB/T23485- instead of Xinzhuang WWTP Phase 1. 2009) ▪ WBG EHS Guidelines Gaps identified: None. 8. Hazardous materials ▪ Catalogue of Hazardous According to the EIA Table, hazardous materials (use of chemicals) Chemicals should be properly stored, and hazardous waste ▪ Measures for the should be handled by qualified waste collection Prevention and Control of companies for proper disposal. Environment Pollution by Gaps identified: Discarded Dangerous Chemicals None ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 9. Occupational Health ▪ PRC Law on Work Safety Health and safety policies are in place. Health & Safety (2014) and safety trainings have been provided to all site ▪ Technology Code of workers. Poison Control for During the site visit, it was observed that PPEs Municipal Wastewater provided to site workers appear to be reasonable. Treatment Plant AQ Warning signs were displayed throughout the 4209-2010

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▪ ADB SPS 2009 plant area, listing out the potential hazard and ▪ WBG EHS Guidelines required protection equipment. Equipment and materials at the handling area for steel reinforced bars were observed to be scattered around, which could cause potential hazards to workers working in that area. Gaps identified: In general, the occupational health and safety of the facility is in line with industry standard in China. It is recommended that even though many of the tanks have movable covers, CWE should consider increasing the no. of live-saving rings at the tank area just in case of accidental falls. Cleanliness and tidiness of the handling area for steel reinforced bars can also be improved. 10. Community Health & ▪ Environmental Protection Based on the EIA Table, the safety buffer zone is Safety Law of PRC set at 100m from the site boundary. It was ▪ Standards for the confirmed in the EIA Table that there were no Construction of Municipal sensitive receivers within the safety buffer zone. Wastewater Treatment However, it was observed during the site visit that Project CJJ-01 there was a small village near the southern ▪ ADB SPS 2009 boundary of the WWTP. Yet, according to ▪ WBG EHS Guidelines satellite map, it appears to be more than 100m away from the WWTP. Hence, there were no sensitive receivers located within the buffer zone. Gaps identified: None. 11. Application and ▪ ADB SPS 2009 A corporate-wide ESMS will be implemented, adoption of ▪ WBG EHS Guidelines covering topics such as incidents reporting, safety corporate EHS training, regular inspections, appraisals and policies and meetings, etc. practices ESMS training will be provided to the environmental and safety specialists, and subsequently to all employees in the project companies. Gaps identified: It is recommended that CWE implement an Operation Manual that incorporates all EHS requirements specific to the subproject. 12. Environmental ▪ ADB SPS 2009 According to Mr. Jiang, regular environmental Management Plan monitoring will be conducted during operational (including phase; however, no dedicated environmental contractors / sub- management plan was observed during the site contractors’ visit. construction / site Gaps identified: specific EMP) It is recommended that CWE shall incorporate the environmental mitigation measures into the Operation Manual of Jinbai WWTP before commercial operation commences. 13. Contingency and ▪ Emergency Response Contingency plan for environmental incidents is in Emergency Law of the People's place. Response Plan Republic of China Gaps identified: ▪ ADB SPS 2009 ▪ WBG EHS Guidelines

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An emergency response plan should be prepared for Jinbai WWTP to cover topics such as power shortage, system failure, and fire accidents. 14. Staff Certifications ▪ Provisions on Safety According to Mr. Jiang, internal training, such as and Trainings Training of Production work hazards, safety production, and and Operation Entities management policies, etc., has been provided to ▪ ADB SPS 2009 all staff. ▪ WBG EHS Guidelines Gaps identified: As the WWTP is still undergoing trial operation, EHS guidelines are not available. These documents should be ready, and provide trainings to all site staff prior to commencement of commercial operation. Training records should also be kept on site. 15. Community ▪ Environmental Protection Two public consultation meetings were conducted Consultation Law of PRC in August 2015 and August 2016 respectively to ▪ Guideline on Public address concerns from the local villagers. Participation in Compensation had been directly paid to each Environmental Protection APs. ▪ ADB SPS 2009 Gaps identified: None.

Application of Corporate EHS and Policies, Practices and Management, Staff Training and Supervision by Subproject All staff are regularly trained under the company’s training programme on topics such as safety operation, emergency response procedures, and management policies, etc. The records are kept on file. PPEs are also provided to all employees working on site.

Implementation of EHS Measures by Subproject CWE will implement a corporate ESMS that highlights its EHS policies and practices. All the subprojects, including Jinbai WWTP, will have to follow the requirements set out in the ESMS including setting up the environmental and social management committee and fulfilling the environmental and social management requirements during different phases of the project (e.g. feasibility study and bidding, preliminary design, construction and operation, etc.). Operators and contractors are expected to adhere to the company’s ESMS and emergency response plan.

Relevant Environmental Issues, Impacts, Risks and Affected Environmental Resources The buffer zone of wastewater treatment plant is 100m from the site boundary. According to the EIA Table, the safety buffer zone is set at 100m from the site boundary. It was confirmed in the EIA Table that there were no sensitive receivers within the safety buffer zone. However, it was observed during the site visit that there was a small village near the southern boundary of the WWTP. Yet, according to satellite map, it appears to be more than 100m away from the WWTP. Hence, there were no sensitive receivers located within the buffer zone.

The wastewater treatment plant is equipped with deodorization unit, thereby reducing environmental impact to the surrounding area. The odor level at site boundary is able to meet Class II of GB18918- 2002 and the noise level at site is able to meet Class II of GB12348-2008.

Occupational health and safety impacts Health and safety policies are in place. Health and safety trainings have been provided to all site workers. An emergency response procedure detailing the handling practices for each relevant emergency is also in place. Also, according to Mr. Jiang, no occupational accidents or injuries had occurred.

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Information disclosure, consultation and participation Two public consultation meetings were conducted in August 2015 and August 2016 respectively to address concerns from the local villagers.

Complete appeal and grievance system for Jinbai WWTP is in place.

2.3.2 Environmental Management Plan

EMP and Mitigation Measures According to Mr. Jiang, regular monitoring events for the effluent quality will be conducted by qualified third parties. Air quality and odor monitoring will also be conducted regularly.

Subproject’s Contingency and Emergency Response Plan

Jinbai WWTP adheres to the following emergency response plans:

• Emergency measures for non-compliance of effluent quality (出水水质超标应急措施)

Other Supplemental Plans and Environmentally Related Plans

For social audit of the sub-project, refer to Attachment 3 of this IESE.

Site Visit Photo Log

Outlook of Jinbai WWTP. Area in Jinbai WWTP reserved for the future sludge treatment facility.

1. Construction workers provided with PPE. Caution/warning signs are placed on site and 2. Village behind the southern boundary wall appear to be reasonable. which, according to satellite map, should be more than 100m away.

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Covers were installed at the biological Inside the biological treatment tanks treatment tanks to protect the treatment media

Equipment and materials at the handling area Upstream of Maijia River viewing from the for steel reinforced bars were observed to be entrance of Jinbai WWTP. scattered around, which could cause potential hazards to workers working in that area

Downstream of Maijia River viewing from the Coarse and fine screens at the booster entrance of Jinbai WWTP. pumping station.

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Biological deodorizer at the booster pumping Sedimentation tank at the booster pumping station. station.

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3. Subproject 3: Nanming River Riverbank Interception Channels and Grit Chamber Project The Consultant conducted site visit to Nanming River Riverbank Interception Channels and Grit Chamber Project (“Grit Chamber Project”) on 18 December 2017. With the Grit Chamber Project being part of Xinzhuang WWTP Phase 1, the due diligence team interviewed Manager of Xinzhuang WWTP Phase 1, Ms. Tan and her team. Site visit photo log can be found at the end of this section.

3.1. Location The Grit Chamber Project is located at the West side of Xinzhuang WWTP Phase 1, in Wudang District of Guiyang City, Guizhou Province. Location map and plant layout of the Grit Chamber Project are shown in Figure 5 and Figure 6 respectively.

3.2. Subproject Description The Grit Chamber Project is designed with a capacity of 800,000 m3/d. It has a land area of approximately 1,182 m2, and is located at the southwestern side of Xinzhuang WWTP Phase 1 in Wudang District of Guiyang City. As it is found that there is a large amount of grit, sand and soil in the wastewater entering Xinzhuang WWTP Phase 1 and Phase 2, the main purpose of constructing the Grit Chamber Project is to reduce the grit, sand and soil in the wastewater, so as to minimize impacts to the performance of Xinzhuang WWTP Phase 1 and Phase 2.

Figure 5 Location Map of the Grit Chamber Project

Hangtian Road Xinzhuang Village

Gaoxin Road Shuidong Xindong Road Road Xinzhuang Road Xinzhuang WWTP Lanhai The Grit Highway Chamber Project

Sanwan Well

Source: www.tianditu.com, 2018.

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Figure 6 Project Layout of the Grit Chamber Project

Source: Feasibility Study Report, 2016.

3.3. Environment

3.3.1. Environmental Assessment

EIA and EMP An EIA Table (or simplified EIA) was prepared for the Grit Chamber Project (design capacity 800,000 m3/d) and was finalized in January 2016. It was subsequently approved by the Environmental Protection Bureau of Wudang District, Guiyang City (Wudang EPB), in 28 March 2016. However, having completed the construction, installation, testing and commissioning of the Grit Chamber Project, it is found during the environmental acceptance test that the wastewater collected at the Grit Chamber Project has substantially more sand, grit and soil than expected. Thus, it is currently undergoing a design and installation modification process. According to Ms. Tan, they have already informed Wudang EPB about such need. EIA Report will be revised and re-submitted for Wudang EPB’s approval once prepared.

EMP is presented in the EIA Report for the Grit Chamber Project (design capacity 800,000 m3/d).

Site Information

The Grit Chamber Project comprises of the following components:

• Coarse screen • Horizontal flow type grit chamber • Bridge type sand suction machine • Biological deodorization unit

Grit collected at the Grit Chamber Project shall be disposed of at Gaoyan Landfill in Guiyang City.

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Status of Compliance with Local, National and Regulatory Requirements The planning application for the Grit Chamber Project (design capacity 800,000 m3/d), being part of the Nanming River Watershed Management Project Phase 2 – Stage 2, was approved by Guiyang Development and Reform Commission on 17 August 2015. The EIA Table was approved by Wudang EPB on 28 March 2016 and the construction permits was obtained from Guiyang Housing and Urban Rural Construction Bureau on 13 April 2017. The Grit Chamber Project has completed the construction, installation, testing and commissioning procedures. However, it is found during the environmental acceptance test that the wastewater collected at the Grit Chamber Project has substantially more sand, grit and soil than expected. As such, the environmental acceptance tests were suspended during the Consultant’s site visit and the Grit Chamber Project is currently in the process of design and installation modification.

The construction and operation of the Grit Chamber Project has to comply with the following standards:

Construction Stage

▪ Air and Odor: Ambient air quality in the vicinity of the site should comply with Class II of “Ambient Air Quality Standards (GB3095-2012)”. Air emission on site during construction stage should comply with Table 2 Class II of “Integrated Emission Standard of Air Pollutants (GB16297-1996)”;

▪ Water: Surface runoff from the construction site should comply with Class IV of “Environmental Quality Standards for Surface Water (GB3838-2002)” before discharging to the sewage network.

▪ Noise: Ambient noise level in the vicinity of the site should comply with “Environmental Quality Standard for Noise (GB3096-2008)”. On site, noise level should comply with “Emission Standard of Environment Noise for Boundary of Construction Site (GB12523-2011)” during construction stage; and

▪ Solid Waste and Construction Waste: Handling and disposal of general refuse should comply with “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889-2008)”. Construction waste should be reused whenever possible, while the remaining should be disposed of at government-designated disposal facilities.

Operation Stage

▪ Air and Odor: Ambient air quality in the vicinity of the site should comply with Class II of “Ambient Air Quality Standards (GB3095-2012)”. Air emission on site during operation stage should comply with Table 4 Class II of “Emission Standards for Environmental Pollutants in Guizhou Province (DB52/864-2013)”. Odor intensity at the site boundary during operation stage should comply with “Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant (GB18918-2002)”, while odor emission after odor treatment on site should comply with “Emission Standards for Odor Pollutants (GB14554-93)”;

▪ Water: Effluent discharge should comply with Class III of “Integrated Wastewater Discharge Standard (GB8978-1996)”;

▪ Noise: Ambient noise level in the vicinity of the site should comply with “Environmental Quality Standard for Noise (GB3096-2008)”. On site, noise level should comply with Class II of “Emission Standard of Industrial Enterprises Noise (GB12348-2008)” during operation stage; and

▪ Solid Waste, Grit and Sediments: Handling and disposal of general refuse, grit and sediments should comply with “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889-2008)”.

In preparation for design and installation modification, the testing and commissioning procedures for the Grit Chamber Project were suspended. As such, compliance with some of the local national and

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regulatory requirements could not be assessed. Please refer to findings in the following sections for details.

Status of Compliance with Applicable World Bank and Other Requirements and International Standards

No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) 1. Environmental ▪ Environmental Impact An EIA for the Grit Chamber Project (design Impact Assessment Assessment Law of PRC capacity 800,000 m3/d) was prepared and was ▪ ADB SPS 2009 for finalized in January 2016. The EIA was approved Environment Category B by Wudang EPB in March 2016. projects Gaps identified: The Grit Chamber Project is currently undergoing a design and installation modification process. CWE shall revise and re-submit the EIA for Wudang EPB’s approval once prepared. 2. Environmental ▪ Management Measures Since the Grit Chamber Project is currently Acceptance on Environmental undergoing design and installation modification, Acceptance of Completed environmental acceptance has not been Construction Projects completed yet. According to the Plant Manager, ▪ Integrated Wastewater environmental acceptance will be resumed once Discharge Standard the modified design is approved by Wudang EPB (GB8978-1996) and equipment is installed and tested. Gaps identified: CWE shall apply for the environmental acceptance test to resume once the modified design is approved by Wudang EPB and equipment is installed and tested. 3. Operation Permits ▪ Environmental Protection The construction, installation, testing and and Licenses Law of PRC commissioning of the Grit Chamber Project ▪ Water Pollution (design capacity 800,000 m3/d) is completed, but Protection Law the environmental acceptance tests were ▪ Integrated Wastewater suspended during the Consultant’s site visit, and Discharge Standard is currently undergoing design and installation (GB8978-1996) modification. Therefore, the discharge permit is currently not yet in place. The construction permit for the Grit Chamber Project (design capacity 800,000 m3/d) was obtained from Guiyang Housing and Urban Rural Construction Bureau on 13 April 2017, but not for the upcoming modification works. Gaps identified: CWE shall obtain the construction permit prior to commencement of the modification works on site. The discharge permit shall also be acquired as soon as construction and modification of the Grit Chamber Project is completed, and when environmental acceptance is obtained. 4. Air emissions (odor, ▪ Air Pollution Prevention Testing of air quality during construction stage greenhouse gases and Control Law of PRC and commercial operation stage are required as and dust) ▪ Ambient Air Quality part of the regular environmental monitoring. Standards (GB3095- According to the approved EIA Table and EIA 2012) approval, air quality on site during construction ▪ Integrated Emission should comply with Table 2 of GB16297-1996, Standard of Air Pollutants operation stage should comply with Class II of (GB16297-1996) DB52/864-2013. Odor intensity at the site

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) ▪ Emission Standards for boundary during operation stage should comply Environmental Pollutants with GB18918-2002, while odor emission after in Guizhou Province odor treatment on site should comply with (DB52/864-2013) GB14554-93. ▪ Discharge Standard of Since the Grit Chamber Project has neither Pollutants for Municipal commenced construction of the modification Wastewater Treatment works nor commercial operation, air quality and Plant (GB18918-2002) odor intensity monitoring has not been ▪ Emission Standards for conducted. Odor Pollutants (GB14554-93) Gaps identified: ▪ ADB SPS 2009 ▪ WBG EHS Guidelines CWE should ensure air quality and odor intensity monitoring is conducted regularly during the commercial operation period. 5. Wastewater ▪ Water Pollution Effluent of the Grit Chamber Project is connected discharge Prevention and Control to Xinzhuang WWTP Phase 1 and Phase 2. Law of PRC Testing of effluent quality is required as part of ▪ Integrated Wastewater the regular environmental monitoring. According Discharge Standard to the approved EIA Table and EIA approval, the (GB8978-1996) effluent quality should comply with Class III of ▪ ADB SPS 2009 GB8978-1996. ▪ WBG EHS Guidelines Since the Grit Chamber Project has not commenced commercial operation yet, water quality monitoring has not been conducted. Gaps identified: CWE should ensure that effluent quality will be monitored regularly during the operation stage and comply with the requirement stated in the EIA approval. 6. Noise Impact ▪ PRC Law for the According to the EIA Table and the EIA approval, Prevention and Control of the noise generated by the Grit Chamber Project Environmental Noise has to comply with GB12523-2011 during Pollution construction period and Class II of GB12348- ▪ Environmental Quality 2008 during operation period. Standard for Noise Since the Grit Chamber Project has neither (GB3096-2008) commenced construction of the modification ▪ Emission Standard of works nor commercial operation, noise monitoring Environment Noise for has not been conducted. Boundary of Construction Site (GB12523-2011) Gaps identified: ▪ Emission Standard of CWE should ensure that noise will be monitored Industrial Enterprises regularly during the operation stage and comply Noise (GB12348-2008) with the requirement stated in the EIA approval. 7. Waste management ▪ Law of the People's According to the EIA Table and EIA approval, grit (including municipal Republic of China on the and general refuse collected at the plant shall be solid waste and Prevention and Control of disposed of at Gaoyan Landfill in Guiyang City. sludge handling) Environmental Pollution Since the Grit Chamber Project has neither Caused by Solid Wastes commenced construction of the modification (2015) works nor commercial operation, no waste ▪ Standard for Pollution collection and disposal records were available. Control on the Landfill Site of Municipal Solid Gaps identified: Waste (GB16889-2008) CWE should ensure that waste will be collected ▪ WBG EHS Guidelines and disposed of regularly and appropriately as

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) per the requirement stated in the EIA Table and EIA approval. 8. Hazardous materials ▪ Catalogue of Hazardous According to EIA Table and EIA approval, very (use of chemicals) Chemicals limited amount (if any) chemicals or hazardous ▪ Measures for the materials would be used for the Grit Chamber Prevention and Control of Project. Environment Pollution by Gaps identified: Discarded Dangerous Chemicals CWE should ensure that any chemicals or ▪ Standard for Pollution hazardous materials used shall be stored and Control on the Landfill disposed of appropriately in accordance with Site of Municipal Solid national and provincial requirements. Waste (GB16889-2008) ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 9. Occupational Health ▪ PRC Law on Work Safety The environmental acceptance tests for the Grit & Safety (2014) Chamber Project were suspended during the site ▪ Technology Code of visit, and no major construction and operation Poison Control for health and safety issues were observed on site. A Municipal Wastewater site-specific and company-wide emergency Treatment Plant AQ response procedures detailing the handling 4209-2010 practices for each relevant emergency is in place, ▪ ADB SPS 2009 which will be implemented accordingly when the ▪ WBG EHS Guidelines Grit Chamber Project becomes operational. According to the plant manager, site-specific occupational health and safety manual for the Grit Chamber Project will be incorporated into the Staff Safety Handbook prior to commercial operation begins. Gaps identified: CWE should ensure that the site-specific occupational health and safety manual will be prepared before the Grit Chamber Project begins commercial operation. 10. Community Health & ▪ Environmental Protection Based on the approved EIA Report, the Safety Law of PRC community health and safety buffer zone is set at ▪ Standards for the 100m from the Grit Chamber Project. It was Construction of Municipal observed that Chejiazhai Village was nearby (on Wastewater Treatment the opposite side of the riverbank), but according Project CJJ-01 to satellite map, it appears to be more than 100m ▪ ADB SPS 2009 away from the Grit Chamber Project. Hence, ▪ WBG EHS Guidelines there were no sensitive receivers located within the buffer zone. Gaps identified: None. 11. Application and ▪ ADB SPS 2009 According to the plant manager, the corporate adoption of ▪ WBG EHS Guidelines ESMS that highlights its EHS policies and corporate EHS practices will be adopted for the Grit Chamber policies and Project before commercial operation commences. practices Gaps identified: It is recommended that CWE implement an Operation Manual that incorporates all EHS requirements specific to the subproject.

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) 12. Environmental ▪ ADB SPS 2009 Although no dedicated EMPs were observed Management Plan during the site visit, the EIA Report has a section (including on the requirement of environmental contractors / sub- management / preventive measures that the Grit contractors’ Chamber Project (design capacity 800,000 m3/d) construction / site has to follow. The improved ESMS will also have specific EMP) guidelines on setting up EMPs. Gaps identified: It is recommended that CWE shall incorporate an EMP into the Operation Manual of Xinzhuang WWTP Phase 1 before commercial operation of the Grit Chamber Project commences. 13. Contingency and ▪ Emergency Response A site-specific and company-wide emergency Emergency Law of PRC response plan during construction and during Response Plan ▪ ADB SPS 2009 operation stages are in place, which covers topics ▪ WBG EHS Guidelines such as electrical outage, equipment failure, chemical exposure and other environmental incidents, etc. Gaps identified: It is recommended that CWE shall incorporate emergency plans for the Grit Chamber Project into the Construction and Operation Manual of Xinzhuang WWTP Phase 1 before commercial operation of the Grit Chamber Project commences. CWE should also ensure safety inspections and emergency response drills are carried out regularly, and records of the safety inspections and emergency response drills are kept on file. 14. Staff Certifications ▪ Provisions on Safety CWE has provided the 2018 staff training plan of and Trainings Training of Production Xinzhuang WWTP Phase 1, which mainly and Operation Entities focuses on operation management and health ▪ ADB SPS 2009 and safety topics. According to the plant ▪ WBG EHS Guidelines manager, the Grit Chamber Project will also be incorporate in the training plan prior to the commencement of commercial operation. Gaps identified: None. 15. Community ▪ Environmental Protection According to CWE, EIA Table of the Grit Consultation Law of PRC Chamber Project is regarded as a small-scale ▪ Guideline on Public extension project of previously built projects, only Participation in county level approvals were required. Hence, Environmental Protection only village representatives were consulted. ▪ ADB SPS 2009 A consultation meeting was also organized on 7 September 2015 to discuss land acquisition. Gaps identified: CWE should ensure continuous and transparent communication with local residents.

Application of Corporate EHS and Policies, Practices and Management, Staff Training and Supervision by Subproject

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According to the plant manager, all staff will be regularly trained under the company’s training programme to ensure they are capable in implementing the EHS measures.

Implementation of EHS Measures by Subproject The corporate ESMS that highlights its EHS policies and practices will be adopted for the Grit Chamber Project before commercial operation commences. Operators and contractors are expected to adhere to the corporate ESMS and emergency response plan.

Relevant Environmental Issues, Impacts, Risks and Affected Environmental Resources Based on the approved EIA Report, the community health and safety buffer zone is set at 100m from the Grit Chamber Project. It was observed that Chejiazhai Village was nearby (on the opposite side of the riverbank), but according to satellite map, it appears to be more than 100m away from the Grit Chamber Project. Hence, there were no sensitive receivers located within the buffer zone.

Construction, installation, and testing and commissioning procedures were completed during the Consultant’s visit. Environmental acceptance tests were also suspended until design and installation modification of the Grit Chamber Project is completed. Therefore, compliance with the EIA Table and EIA approval could not be assessed at this stage.

Occupational health and safety impacts The Grit Chamber Project was suspended during the site visit, and no major construction and operation health and safety issues were observed on site. A company-wide emergency response procedure detailing the handling practices for each relevant emergency is in place, which will be implemented accordingly when the Grit Chamber Project becomes operational. According to the plant manager, site-specific occupational health and safety manual will also be prepared before the Grit Chamber Project begins commercial operation. Also, according to plant manager, no occupational accidents or injuries had occurred.

Information disclosure, consultation and participation According to CWE, EIA Table of the Grit Chamber Project is regarded as a small-scale extension project of previously built projects, only county level approvals were required. Hence, only village representatives were consulted.

A consultation meeting was also organized on 7 September 2015 to discuss land acquisition.

3.3.2. Environmental Management Plan

EMP and Mitigation Measures Water quality monitoring will be conducted on site by qualified third parties every week. EPB will also conduct monitoring on site every quarter on odor, noise and water.

Subproject’s Contingency and Emergency Response Plan According to the plant manager, Xinzhuang WWTP Phase 1 (together with the Grit Chamber Project) is adhering to the following emergency response plans:

• Staff Safety Handbook for Xinzhuang WWTP Phase 1 新庄一期员工安全手册2017 修订版 • CWE Environmental & Social Management System 中国水环境集团环境与社会保障管理制度 • CWE Construction Project Production Safety Emergency Response Plan 中国水环境集团建设项目生 产安全事故应急处置预案 • CWE Operation Projects Safety Management System 中国水环境集团运营项目安全管理体系 • CWE Environmental Incidents Emergency Response Plan 中国水环境集团突发环境事件应急预案

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Other Supplemental Plans and Environmentally Related Plans

For social audit of the sub-project, refer to Attachment 3 of this IESE.

Site Visit Photo Log

CWE should pay more attention to site Caution/warning signs and tapes shall be cleanliness. placed by the tank openings. CWE mentioned they are planning to do so as soon as construction and installation of the modification works are completed.

Upstream of Nanming River viewing from the Downstream of Nanming River viewing from Grit Chamber Project. the Grit Chamber Project.

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4. Subproject 6: Huaxi River Water Environment Integrated Management Project The Consultant conducted site visit to Huaxi River Water Environment Integrated Management Project (“Huaxi River Project”) on 20 December 2017, including Luoping Channel, Yangniu Channel and Shilihe Beach. The due diligence team interviewed Person-in-charge of the Huaxi River Project, Mr. YANG Shen, and his team. Site visit photo log can be found at the end of this section.

4.1. Location The Huaxi River Project is located in the Huaxi District of Guiyang City. The subproject covers several areas along the Huaxi River, including Luoping Channel, Yangniu Channel, Dashui Ditch, and Shilihe Beach. Location map of Huaxi District and the subproject are shown in Figure 7 and Figure 8 below. Figure 7 Location Map of Huaxi District

Guiyang City Wudang District

Huaxi District

Source: www.tianditu.com, 2018.

Figure 8 Location Map of Huaxi River Water Environment Integrated Management Project

Dashui Ditch

Lanhai Yangniu Highway Channel Shilihe Beach

Guiyang Huaxi South Ring Reservoir Expressway

Luoping Channel

Source: www.tianditu.com, 2018.

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4.2. Subproject Description

The integrated management project along Huaxi River includes:

• Reconstruction of the drainage system within the area from Huaxi Reservoir to Sanjiangkou and the interception channels at Luoping, Yangniu and Dashui District (approximately 13.95km);

• Installation of five monitoring stations within the Huaxi Reservoir, Confucian Center, Shilihe Beach, and Sanjiangkou;

• Renovation of the landscapes along the interception channels at Huaxi River (approximately 4.1km); and

• Reconstruction of three fixed dams, including the additional of six manual control gates to reduce the accumulation of sediments.

Construction began on 29 March 2016, and is expected to complete construction in the first half of 2018.

4.3. Environment

4.3.1. Environmental Assessment

EIA and EMP An EIA was prepared for the Huaxi River Project. The EIA Report was prepared in April 2017, and subsequently approved by the Guiyang EPB on 29 April 2017.

EMP is presented in the EIA report.

Site Information Dredging, reconstruction and landscaping works along the Huaxi Reservoir to Sanjiangkou, as well as the interception channels at the Yangniu Channel, Dashui Ditch and Shilihe Beach are completed while the Luoping Channel is undergoing construction at the time of the site visit. The remaining construction works at Luoping Channel are expected to complete by January 2018.

As soon as the necessary equipment are delivered on site, CWE will commence installation of the five monitoring stations and reconstruction of the three fixed dams. All the construction works are expected to be completed in the first half of 2018.

Status of Compliance with Local, National and Regulatory Requirements The Huaxi River Project was approved by Guiyang Development and Reform Commission on 17 August 2015, the EIA was approved by Guiyang EPD on 29 April 2017, and the construction permits was obtained from Guiyang Housing and Urban Rural Construction Bureau on 30 April 2017.

The construction of the Huaxi River Project has to comply with the following standards:

• Air and Odor: Ambient air quality in the vicinity of the site should comply with Class II of “Ambient Air Quality Standards (GB3095-2012)”. Air emission on site during construction stage should comply with Table 2 Class II of “Integrated Emission Standard of Air Pollutants (GB16297-1996)”;

• Water: Surface water should comply with Class II of “Environmental Quality Standards for Surface Water (GB3838-2002)”, while groundwater should comply with Class III of “Quality Standard for Groundwater (GB/T-14848-93)”. Wastewater generated during the construction stage is mainly from onsite workers’ sewage and construction cleaning water. Onsite workers’ sewage should be collected in a septic tank and properly discharge to the public sewage system while the construction wastewater should be collected and reused after treatment. Municipal wastewater should be pre-treated to comply with Class III of “Integrated Wastewater

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Discharge Standard (GB8978-1996)”;

• Noise: Ambient noise level in the vicinity of the site should comply with “Environmental Quality Standard for Noise (GB3096-2008)”. On site, noise level should comply with “Emission Standard of Environment Noise for Boundary of Construction Site (GB12523-2011)” during construction stage and “Emission Standard for Community Noise (GB22337-2008)” during operation stage; and

• Waste: Solid waste and hazardous waste treatment measures should be implemented. Raw materials, spoil, excavated soil and rock, and general refuse generated by onsite workers should comply with “Standard and Pollution Control on the Storage and Disposal Site for General Industrial Solid Wastes (GB18599-2001)” and “Standard for Pollution Control on the Landfill Site of Municipal Solid Waste (GB16889-2008)”, and be properly stored and disposed of regularly to the designated landfill. Meanwhile, the handling and disposal of hazardous waste, including spent solvents/solutions from equipment operation and cleaning, should comply with “Standards for Pollution Control on Hazardous Waste Storage (GB18597-2001)”.

After completion of the construction works, it is expected that the surface water quality of Huaxi River will comply with Class II of “Surface Water Quality Standards (GB3838-2002)”.

During the site visit, it is noted that dredging along Huaxi River has already been completed. This is in line with the approval of the Feasibility Study Report, but the EIA approval has deferred the approval of the dredging activities to a later stage. According to Mr. Yang, it is understood to be the local government’s request to advance and expedite the dredging works in the construction program under the circumstance where appropriate mitigation measures are being implemented. Such mitigation measures are understood to be setting up of temporary diversion barriers (e.g. cofferdams and silt curtains) to enclose the dredging area, and to avoid contamination of surface water and groundwater downstream of the dredging area, which CWE has implemented and appears to be in line with usual practice in China. The dredging work was inspected by the government and was reported in the media (see Figure 9 and Figure 10 below). CWE is currently liaising with the local EPB to obtain relevant supporting documents from the EPB for record.

Figure 9 Government Representatives (including Representatives from EPB) of Guiyang City Inspecting the Huaxi River Project

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Figure 10 Media Reporting about Dredging Works of the Huaxi River Project

Status of Compliance with Applicable World Bank and Other Requirements and International Standards

No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) 1. Environmental ▪ Environmental Impact An EIA was conducted for the Huaxi River Impact Assessment Assessment Law of PRC Project. The EIA Report for the project was ▪ ADB SPS 2009 for finalized in April 2017, and approval for the EIA environment Category B Report was subsequently granted on 29 April projects 2017 by Guiyang EPB. Gaps identified: During the site visit, it is noted that dredging along Huaxi River has already been completed. This is in line with the approval of the Feasibility Study Report, but the EIA approval has deferred the approval of the dredging activities to a later stage. According to Mr. Yang, it is understood to be the local government’s request to advance and expedite the dredging works in the construction program under the circumstance where appropriate mitigation measures are being implemented. Such mitigation measures are understood to be setting up of temporary diversion barriers (e.g. cofferdams and silt curtains) to enclose the dredging area, and to avoid contamination of surface water and groundwater downstream of the dredging area, which CWE has implemented and appears to be in line with usual practice in China. The dredging work was inspected by the government and was reported in the media. CWE is currently liaising with the local EPB to obtain relevant supporting documents from the EPB for record. Once CWE has received the supporting documents, they should provide a copy to ADB for review.

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) 2. Environmental ▪ Management Measures Environmental acceptance of completed Acceptance of on Environmental construction works has not been conducted yet, Completed Acceptance of Completed as some areas are still in construction at the time Construction Construction Projects of site visit. Projects Gaps identified: CWE should apply for the environmental acceptance tests as soon as construction of the Huaxi River Project is completed. 3. Operation Permits ▪ Environmental Protection Construction permits and approvals were and Licenses Law of PRC obtained prior to construction commencement. ▪ Environmental Quality However, as the construction completion and Standards for Surface environmental acceptance tests have not been Water (GB3838-2002) completed at the time of site visit, per requirements set out in the service contract, operation stage has not been commenced yet. It is anticipated that the construction will be completed in the first half of 2018. Gaps identified: None. 4. Air and odor ▪ Air Pollution Prevention Construction stage environmental inspections are emissions and Control Law of PRC being carried out regularly on site. No air and ▪ Ambient Air Quality odor emission issues were reported to date since Standards (GB3095- the start of construction. Monitoring data has not 2012) been provided. ▪ Integrated Emission Gaps identified: Standard of Air Pollutants (GB16297-1996) If there is any construction stage environmental ▪ ADB SPS 2009 monitoring data in place, CWE should make such ▪ WBG EHS Guidelines data available for the Consultant’s review. 5. Wastewater ▪ Water Pollution Wastewater generated during the construction discharge Prevention and Control stage is mainly from onsite workers’ sewage and Law of PRC construction cleaning water. According to Mr. ▪ Environmental Quality Yang, no wastewater discharge issues were Standards for Surface reported to date since the start of construction. Water (GB3838-2002) Gaps identified: ▪ Quality Standard for Groundwater (GB/T- None. 14848-93) ▪ Integrated Wastewater Discharge Standard (GB8978-1996) ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 6. Noise impact ▪ PRC Law for the Construction stage environmental inspections are Prevention and Control of being carried out regularly on site. Mr. Yang Environmental Noise mentioned that some of the construction activities Pollution were conducted during nighttime, which they ▪ Environmental Quality have already verbally agreed with EPB before the Standard for Noise start of construction. No noise issues were (GB3096-2008) reported to date since the start of construction. ▪ Emission Standard of However, monitoring data has not been provided. Environment Noise for Gaps identified: Boundary of Construction Site (GB12523-2011) While construction activities conducted during nighttime were verbally agreed with EPB, it is

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) ▪ Emission Standard for recommended that such agreement should be put Community Noise into written form and kept in record. (GB22337-2008) If there is any construction stage environmental monitoring data in place, CWE should make such data available for the Consultant’s review. 7. Waste management ▪ PRC Law for the Waste generated during the construction stage is (including municipal Prevention and Control of mainly from on-site workers’ municipal solid solid waste and Environmental Pollution waste and construction waste. construction waste) Caused by Solid Wastes According to the Construction Safety, Civilization ▪ Standard and Pollution and Environmental Protection Plan, construction Control on the Storage waste and municipal solid waste are being and Disposal Site for collected and disposed of regularly. No waste General Industrial Solid management issues were reported to date since Wastes (GB18599-2001) the start of construction. ▪ Standard for Pollution Control on the Landfill Gaps identified: Site of Municipal Solid None. Waste (GB16889-2008) ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 8. Hazardous materials ▪ Catalogue of Hazardous According to EIA Report, hazardous materials (use of chemicals & Chemicals should be properly stored, and hazardous waste handling of chemical ▪ Measures for the should be handled by qualified waste collection waste) Prevention and Control of companies for proper disposal. No hazardous Environment Pollution by waste management issues were reported to date Discarded Dangerous since the start of construction. Chemicals Gaps identified: ▪ Standards for Pollution Control on Hazardous None. Waste Storage (GB18597-2001) ▪ ADB SPS 2009 ▪ WBG EHS Guidelines 9. Occupational Health ▪ PRC Law on Work Safety During the brief site visit, it was observed that & Safety ▪ Unified Code for Safety warning signs were displayed on the construction Technology in site hoarding, but not so much inside the Construction (GB50870- construction site. While no workers were 2013) observed working at the construction sites during ▪ Standard for Environment the site visit, Mr. Yang confirmed that PPEs are and Sanitation of being provided to the workers. Safety guidelines Construction Site and trainings are also being provided to the (JGJ146-2004) workers, especially for those that are required to ▪ ADB SPS 2009 work in confined space like maintenance pits. ▪ WBG EHS Guidelines According to the monthly construction supervision reports, a third party contractor on site would be responsible for construction supervision, including a monthly safety inspection. As reported in the monthly construction supervision reports, there were no safety incidents since the start of construction. In general, the occupational health and safety on site appear to be reasonable. Gaps identified: Warning signs/tapes should be placed at areas where there could be potential hazards.

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) 10. Community Health & ▪ Environmental Protection Based on the Consultant’s visit of the Safety Law of PRC construction site, no major community health and ▪ ADB SPS 2009 safety issues were observed. ▪ WBG EHS Guidelines As the subproject mainly consists of maintenance works of the drainage pipelines, landscaping works and monitoring stations after completion of construction works, it is not likely to have adverse environmental impacts during the operation stage. Gaps identified: None. 11. Application and ▪ ADB SPS 2009 A corporate-wide ESMS will be implemented, adoption of ▪ WBG EHS Guidelines covering topics such as incidents reporting, safety corporate EHS training, regular inspections, appraisals and policies and meetings, etc. practices ESMS training will be provided to the environmental and safety specialists, and subsequently to all employees in the project companies. Gaps identified: It is recommended that CWE implement an Operation and Maintenance Manual that incorporates all EHS requirements specific to the subproject. 12. Environmental ▪ ADB SPS 2009 According to Mr. Yang, they do employ third Management Plan parties to conduct regular onsite environmental (including monitoring for the project. There is also an EMP contractors / sub- in the EIA Report. contractors’ Gaps identified: construction / site specific EMP) It is recommended that CWE shall incorporate the EMP into the Operation and Maintenance Manual of Huaxi River Project before commercial operation commences. 13. Contingency and ▪ Emergency Response Contingency and emergency response plan Emergency Law of PRC during the construction stage is in place. Response Plan ▪ ADB SPS 2009 Gaps identified: ▪ WBG EHS Guidelines CWE should ensure a contingency and emergency response plan be prepared for the operation stage to cover topics such as environmental incidents, system failure, and fire accidents. 14. Staff Certifications ▪ Regulations on Safety According to Mr. Yang, internal trainings, such as and Trainings Trainings for Production safety in construction, relevant work hazards, and and Operation Entities management policies, etc., have been provided to ▪ ADB SPS 2009 all staff. ▪ WBG EHS Guidelines Gaps identified: As the project is still under construction stage, EHS guidelines are not available. These documents should be ready, and EHS trainings should be provided to all staff prior to

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No. Concerned Item Relevant Regulation(s) Comments / Gaps Identified and/or Standard(s) commencement of commercial operation. Training records shall be kept. 15. Community ▪ Environmental Protection One public consultation meeting was conducted Consultation Law of PRC in March 2016 to address concerns regarding ▪ Guideline on Public temporary/permanent land occupation for Participation in constructing the drainage pipelines. After Environmental Protection discussion with the local villagers, a total of 21.4 ▪ ADB SPS 2009 mu of land will be acquired permanently from the Luoping Village of Huaxi District. As of the time of site visit, the compensation has not been distributed to the affected households. Gaps identified: CWE needs to present the land acquisition progress, distribution of compensation, and if any, complaint received for this project, in the Annual Environment and Social Performance Report.

Application of Corporate EHS and Policies, Practices and Management, Staff Training and Supervision by Subproject According to Mr. Yang, PPEs are provided to all employees working on site. All construction workers are provided with sufficient trainings prior to the commencement of works.

Implementation of EHS Measures by Subproject CWE will implement a corporate ESMS that highlights its EHS policies and practices. All the subprojects, including Huaxi River Project, will have to follow the requirements set out in the ESMS including setting up the environmental and social management committee and fulfilling the environmental and social management requirements during different phases of the project (e.g. feasibility study and bidding, preliminary design, construction and operation, etc.). Operators and contractors are expected to adhere to the company’s ESMS and emergency response plan.

Relevant Environmental Issues, Impacts, Risks and Affected Environmental Resources As the Huaxi River Project is still under construction at the time of site visit, no operational environmental risks/issues were noted. EHS measures were observed to be reasonable during construction, except that the measures could be improved by providing fences and warning signs around the holes that are excavated for drainage pipe construction.

Based on the above observations during the brief site visit of the construction site, no major environmental issues were observed. According to Mr. Yang, regular environmental monitoring will be conducted during the operation stage.

Occupational health and safety impacts Health and safety policies are in place. Health and safety trainings have been provided to all site workers. An emergency response procedure detailing the handling practices for each relevant emergency is also in place. Also, according to Mr. Yang, no occupational accidents or injuries had occurred.

Information disclosure, consultation and participation

One public consultation was conducted in March 2016 to address concerns from the local villagers.

Complete appeal and grievance system for the Huaxi River Project is in place.

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4.3.2. Environmental Management Plan

EMP and Mitigation Measures The subproject company has not provided an environmental management plan for our checking. However, it is noted that regular environmental monitoring is being carried out by a third party consultant. There is also an EMP in the EIA Report.

Subproject’s Contingency and Emergency Response Plan

The Huaxi River Project adheres to the Construction Safety, Civilization and Environmental Protection Plan (安 全、文明、环保施工专项方案), which includes guidance on emergency response.

Other Supplemental Plans and Environmentally Related Plans

For social audit of the sub-project, refer to Attachment 3 of this IESE.

Site Visit Photo Log

Outlook of Luoping Channel. Signs/tapes Outlook of Luoping Channel. should be placed nearby the construction pit to caution the workers from falling.

Warning sign placed on the hoarding at Outlook of Yangniu Channel. Luoping Channel construction site.

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Outlook of Yangniu Channel. Outlook of Shilihe Beach.

Outlook of Shilihe Beach. Outlook of Shilihe Beach.

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5. Conclusion and Recommended Corrective Actions In general, the environmental audit noted and considered that the subprojects under “Nanming River Watershed Management Project Phase 2 – Stage 2” are in line with the industry practice as well as ADB SPS, World Bank and other requirements and international standards. A few relatively minor corrective actions are suggested and provided in Table 1 below.

Categorization of risks and impacts These subprojects under “Nanming River Watershed Management Project Phase 2 – Stage 2” are proposed to be classified as Category B for environment as the environmental impacts are likely mitigatable and site-specific.

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Table 1 Proposed Corrective Action Plan

No. Concerned Description of Issue(s) Risk Suggested Corrective Action(s) Responsible Indicative Cost Suggested Unit* Party(ies)* Time Frame Environmental and Social Planning and Management 1. Grit An EIA for the Grit Chamber Project (design Low CWE shall revise and re-submit the EIA for Grit Chamber ≤ 6-9 months of Before the Chamber capacity 800,000 m3/d) was prepared and was Wudang EPB’s approval before the design management time design and finalized in January 2016. The EIA was and installation modification work installation approved by Wudang EPB in March 2016. commences. modification However, the Grit Chamber Project is currently work suspended and will undergo design and commences installation modification. 2. Huaxi An EIA was conducted for the Huaxi River Low During the site visit, it is noted that dredging Huaxi ≤ 3-6 months of Within 6 Project. The EIA Report for the project was along Huaxi River has already been management time months of finalized in April 2017, and approval for the EIA completed. This is in line with the approval of commercial Report was subsequently granted on 29 April the Feasibility Study Report, but the EIA operation 2017 by Guiyang EPB. approval has deferred the approval of the dredging activities to a later stage. According to Mr. Yang, it is understood to be the local government’s request to advance and expedite the dredging works in the construction program under the circumstance where appropriate mitigation measures are being implemented. Such mitigation measures are understood to be setting up of temporary diversion barriers (e.g. cofferdams and silt curtains) to enclose the dredging area, and to avoid contamination of surface water and groundwater downstream of the dredging area, which CWE has implemented and appears to be in line with usual practice in China. The dredging work was inspected by the government and was reported in the media. CWE is currently liaising with the local EPB to obtain relevant supporting documents from the EPB for record. Once CWE has received the supporting documents, they should provide a copy to ADB for review.

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No. Concerned Description of Issue(s) Risk Suggested Corrective Action(s) Responsible Indicative Cost Suggested Unit* Party(ies)* Time Frame Capacity and Responsibility 3. Jinyang During the site visit, it was observed that Low It is recommended to increase the no. of live- Jinyang ≤ 1 day of Before warning signs were displayed throughout the saving rings at the tank area. management time commercial plant area, listing out the potential hazard and operation required protection equipment. Live-saving commences rings were also provided at the tank area, but it would be better if more could be provided. 4. Jinyang A corporate-wide ESMS will be implemented, Low It is recommended that CWE should Jinyang ≤ 1-3 months of Within 3 covering topics such as incidents reporting, implement an Operational Manual that management time months of Jinbai Jinbai safety training, regular inspections, appraisals incorporates all EHS requirements specific to ESMS training Grit and meetings, etc. the subproject. Grit Chamber Chamber Huaxi Huaxi 5. Jinyang During the site visit, it was noted that the Low Operational and EHS guidelines should be Jinyang ≤ 1-3 months of Before wastewater treatment is still undergoing trial ready, and trainings are provided to all site management time commercial Jinbai Jinbai operation, operational and EHS guidelines are staff prior to commencement of commercial operation Grit not available. operation. It is also recommended that CWE Grit Chamber commences Chamber should incorporate the environmental mitigation measures into the Operation Huaxi Huaxi Manual of each subproject before commercial operation commences. 6. Jinbai During the site visit, it was observed that PPEs Low It is recommended that even though many of Jinbai ≤ 1 day of Before provided to site workers appear to be the tanks have movable covers, CWE should management time commercial reasonable. Warning signs were displayed consider increasing the no. of live-saving + RMB5,000.(for operation throughout the plant area, listing out the rings at the tank area just in case of the live-saving commences potential hazard and required protection accidental falls. rings) equipment. 7. Jinbai Equipment and materials at the handling area Low Cleanliness and tidiness of the handling area Jinbai ≤ 5 days of By February for steel reinforced bars were observed to be for steel reinforced bars should be improved. management time 2018 scattered around, which could cause potential hazards to workers working in that area. 8. Jinbai Contingency plan for environmental incidents is Low CWE should prepare an emergency Jinbai ≤ 1-3 months of Before in place, but emergency response plan for response plan to cover topics such as power management time commercial shortage, system failure, and fire accidents.

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No. Concerned Description of Issue(s) Risk Suggested Corrective Action(s) Responsible Indicative Cost Suggested Unit* Party(ies)* Time Frame power shortage, system failure and fire operation accidents, etc. is not available. commences 9. Huaxi Construction stage environmental inspections Low If there is any construction stage Huaxi ≤ 1 month of By February are being carried out regularly on site, but no environmental monitoring data in place, CWE management time 2018 air and odor emission issues were reported to should make such data available for the date since the start of construction. Monitoring Consultant’s review. data has not been provided. 10. Huaxi During the brief site visit, it was observed that Low Warning signs/tapes should be placed at Huaxi ≤ 5 days of By February warning signs were displayed on the areas where there could be potential management time 2018 construction site hoarding, but not so much hazards. + RMB5,000.(for inside the construction site. warning signals) 11. Huaxi Contingency and emergency response plan for Low CWE should ensure a contingency and Huaxi ≤ 1-3 months of Before the operation stage is not available. emergency response plan is prepared for the management time commercial operational stage to cover topics such as operation environmental incidents, system failure, and commences fire accidents. 12. Huaxi One public consultation meeting was Low CWE needs to present the land acquisition Huaxi and ≤ 3-6 months of Within 6 conducted in March 2016 to address concerns progress, distribution of compensation, and if Guiyang management time months of regarding temporary/permanent land any, complaint received for this project, in the Government commercial occupation for constructing the drainage Annual Environmental and Social operation pipelines. After discussion with the local Performance Report. villagers, a total of 21.4 mu of land will be acquired permanently from the Luoping Village of Huaxi District. As of the time of site visit, the compensation has not been distributed to the affected households. * Jinyang = Jinyang WWTP Phase 1; Jinbai = Jinbai WWTP; Grit Chamber = Nanming River Riverbank Interception Channels and Grit Chamber Project; Huaxi = Huaxi River Water Environment Integrated Management Project.

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ATTACHMENT 3: SOCIAL AUDIT REPORT

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1. Methodology

1. Land acquisition and resettlement activities of the Project have been completed 10 by the local government. ADB’S assistance to CTEG falls under the category of 'Corporate Finance' in Safeguards Requirements 4 (Special Requirements for Different Finance Modalities, section H) of the 2009 ADB Safeguards Policy Statement (SPS).11 As required by the SPS, a Social Safeguards Compliance Audit was undertaken for CWE’s past and present performance with regard to managing social dimensions of the Subproject, particularly on land acquisition and involuntary resettlement, indigenous peoples/ethnic minority issues, labor and working conditions, stakeholder engagement, among other related issues.

2. In the course of conducting the social safeguards audit for the Project, the following were undertaken: (i) a desk review of the CWE’s existing environmental and social management system (ESMS); (ii) a review of relevant national laws, regulations and guidelines related to social impact assessment, land acquisition, ethnic minorities and consultation and participation; (iii) interviews with the CWE’s Management and key staff, representatives of local government agencies, local farmers affected by land acquisition, and the list of persons met is presented as Attachment 5; and (iv) site inspection of the subprojects. The documentary review and interviews were carried out during the course of the site visit with an aim to assess the labor and working conditions, land acquisition and involuntary resettlement (LAR), indigenous peoples, and gender and development aspects. The desk review also included a review of project documents and literature including project proposal, feasibility study report (FSR), environment impact assessment report (EIA), land acquisition and compensation agreements, result of detailed measurement survey (DMS), consultation records and receipts of compensation.

2. Involuntary Resettlement

2.1 Jinyang Wastewater Treatment Plant Phase 2

2.1.1 Project Description

3. Jinyang Wastewater Treatment Plant Phase 2 is located in Guanshanhu District of Guiyang city, at the north side of the Phase 1 plant, as shown in Figure IV-3. The land area of Phase 2 is 43.3091 mu and designed with a capacity of 100,000 m3/day by 2030, in which 50,000m3/day will be ensured by 2020. The COD and ammonia nitrogen levels of discharged water of Phase 2 will reach Class IV of “Environmental Quality Standards for Surface Water” (GB 3838-2002) while other relevant indicators will meet Class IA of “Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant” (GB 18918-2002) before discharging into Shixi River. Sludge generated will be dewatered on site to moisture content not exceeding 80%, and will be delivered to Jinyang Sludge Dewatering Centre (20m away from the Project site) for further treatment to achieve moisture content of ≤50%. It will then be disposed of at a local sanitary landfill.

4. Construction was commenced on 15 December 2015 and will be completed by 30 October 2017. Pilot operation for some facilities commenced from 17 July 2017. This sub-project is expected to commence commercial operation by the end of 2017.

2.1.2 Land Acquisition and Resettlement Impacts

5. The Pre-examination of Land Using for this subproject was issued by Guiyang City land resource bureau (LRB) on 31 December 2015, as presented Attachment 6 – Pre-examination of Land Using for Nanming River Environment Improvement Project (Phase 2- Stage 2). According to the Letter of Domestic Land Using Approval Procedures for Nanming River Environment Improvement Project (Phase 2) which is presented as Attachment 7, land using for this subproject complies with the Land Using General Plan, and the approval of transferring farmland to construction land is pending. Detailed LAR impacts for all components are presented in Table 3.

6. 25.5773 mu land was acquired permanently for construction of the plant, including 23.2356 mu collective land and 2.3417 state-owned land. On 14 September 2015, the land acquisition agreement was signed for the 23.2356 mu collective land between the Jinya Village Committee, Jinya Sub-district of Yunyan12

10 For Sub-project 6: Huaxi River Water Environment Integrated Management Project, DMS and consultation was completed, and the compensation has not been paid. Details are presented in section 2.6. 11 The Safeguards Policy Statement is available from http://www.adb.org/Documents/Policies/Safeguards/default.asp 12 Land acquisition was conducted by Yunyan District LRB. Then the village once is administrated by Jinyang New Zone, which is called Guanshanhu District now.

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District and the Yuanyan District Substation of Guiyang Land Resource Bureau (GLRB). 22.9750 mu farmland was acquired, affecting 22 HHs. 2.3417 mu state-owned land was farmed by farmers, which was not belonged to the Jinya Village, so only compensation for standing crops was paid.

Figure 5- Jinyang Wastewater Treatment Plant Phase 2

7. Due to landslide in the end of 2015, another land acquisition agreement was signed for the 13.3374 mu collective land on 20 June 2016 between the Jinya Village Committee, Jinya Sub-district of Yunyan District and the Yuanyan District Substation of Guiyang Land Resource Bureau (GLRB). Land acquisition affected 18 HHs. 4.3944 mu state-owned land was farmed by farmers, which was not belonged to the Jinya Village, so only compensation for standing crops was paid.

Figure 6- Landslide Area of Jinyang Wastewater Treatment Plant Phase 2

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Table 8- LAR Impacts of the Jinyang WWTP Phase 2 Area (mu) Number Date of No Component Collective land State- Agreement owned Subtotal of AHs Signed Farmland Other land Subtotal land 1 Plant 22.9750 0.1606 23.2356 2.3417 25.5773 22 2015-09-14 2 Landslide area 13.1760 0.1614 13.3374 4.3944 17.7318 18 2016-06-20 same pipelines for Jinyang 3 Pipeline 0 0 0 0 0 0 Wastewater Treatment Plant Phase 1 4 Access road 0 0 0 0 0 0 Existing road Subtotal 36.151 0.322 36.573 6.7361 43.3091 34

8. There is no residential house demolition impact within the boundary of the plant. There is no residential household within the 100 meters buffer zone according to the EIA.

9. The director of the Jinya Village Committee confirmed that there was no vulnerable group among the AHs.

10. The main affected ground attachments included trees, graves, and shed. See Table 4.

Table 9 – Ground Attachments Component Ground attachment Quantity Cherry tree 887 Locust tree 57 pepper tree 40 shed 95.215 m2 Plant manure pit (stone) 2 manure pit (cement) 4 manure pit (earth) 1 Grave 23 Cherry tree 631 Landslide area Plum tree 16 Grave 49

2.1.3 Compensation Rates and Cost

11. For land acquisition, the Guizhou Provincial Land Administrative Regulation (effective from January 1, 2000 and revised in 2010) and the Integrated Land Acquisition Price of Guiyang City (ZFF[2009] No. 100) is the policy basis. For farmland, the compensation was 129,000 yuan/mu, which included 120,000 yuan/mu as land compensation, 4,500 yuan/mu compensation for standing crops, and additional award of 4,500 yuan/mu. For other land, the compensation rate was 48,000 yuan/mu.

Table 10 –Compensation Rates for Land Acquisition (Unit: yuan/mu)

Type of Land Type of land Land compensation Compensation for standing crops Award Subtotal Farmland 120,000 4,500 4,500 129,000 Collective land Other land 48,000 0 0 48,000 State-owned land 0 4,500 0 4,500

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12. Compensation for ground attachments were based on the Compensation Rates for Standing Crops and Ground Attachments (YFBF[2010]No.9). During implementation, a qualified agency was engaged to conduct the appraisal, and the referenced compensation rates are presented in Table 6.

Table 11- Compensation Rates for Ground Attachments Ground attachment Measures Compensation rate (yuan) diameter at breast height

(cm) 3 60 4 80 5 120 6 160

Cherry tree 7 200 8 250 10 300 12 360 13 390 14 420 15 450 12 175 Locust tree 14 209 18 277 3 20 pepper tree 7 170 Plum tree 5 100 shed M2 1,400 stone 150 manure pit cement 150 earth 100 no gravestone/earth 5,000 Grave gravestone/earth 6,000 gravestone/brick-stone 8,000

13. The director of the village committee confirmed that all compensation was paid within one month after signed the agreement. Each AH received a cheque of Agriculture Bank of China, which had a branch office near the village committee’s office. They can get the cash or transfer to their own bank cards.

2.1.4 Income Restoration and Relocation

14. Based on reviewing the yearbook and introduction from the director of the village committee who was responsible for LA, land acquisition impact on the APs was very limited and their income can be restored based on the following analysis and reasons.

 The village is located in the sub-urban area, and due to rapid urbanization, large scale land acquisition was commenced since 1998. By July 2017, there are around 100 mu remaining farmland, which is 5% of the total land of the village. Local people have not relied on land for long time. Averagely, the agricultural income before land acquisition was less than 5% of the total income of the AHs. In the affected Jinya village, as most areas of China, the young people prefer to go out to work in the coast

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provinces or Guiyang City, and only the older people are farming on the land for own consumption. Due to the good location, people can easily find jobs in Guiyang City.

 Another main income is from the rent of the houses. There are a lot of factories nearby, and local people lease the houses to the migrant workers outside. Most of the affected HHs spent the compensation to construct or decorate their houses to get more rent. For example, averagely each HH lost 1.08 mu land and got 129,600 yuan compensation. If the AH spent only 60,000 yuan to decorate 4 rooms of 120 m2, each month the rent is 2,400 yuan (each room is 600 yuan). The annual rent is 28,800 yuan, which is much higher than the net income of 3,000 yuan/mu from land.

 Other affected farmers deposit the compensation fund in the bank. The annual interest is 3,900 yuan, which is higher than the net income from the land. The older people prefer to deposit the compensation as they do not need to farm on land and the interest is even higher.

Table 12- Interest Generated by the Compensation Compensation rate Annual interest rate Annual interest Net income from land 120,000 yuan/mu 3.25% 3,900 3,000

 Pension system. When the farmers reach the retired age (55 for woman, and 60 for man), they can get the pension. Before land acquisition, land is regarded as the guarantee for the life in the PRC’s village. The pension system can solve this problem. The landless farmers who had signed the second round of land contract with village committees and are over 16 years of age can participate in social pension insurance depends on their own wishes. The cost of the household’s portion for landless farmers’ pension is paid by the individuals and the government, taking an approach of a lump sum paid in the land acquisition process, for which individuals pay 40%, subtracting from the land compensation fees and resettlement fees, and the government pays 60%. How much pension can be received per month is related to the amount of the pension in the special pension account of individuals. At present, the local labor and social security bureau just commenced the statistic work for the pension system based on the previous land acquisition for all projects. This policy is preferred by the older people especially.

15. 49 graves were affected. Based on consultation, cash compensation was paid. The AHs relocated the graves in the cemetery or bought land in the nearby village. Interview with the AH verified that they were satisfied with the compensation, and they built new and better graves with the sufficient compensation.

2.1.5 Information Disclosure, Consultation and Participation

16. Detailed measurement survey (DMS) was conducted in August 2015. The affected farmers, representatives of village committees, CWE, and officials from LRB participated in the DMS. The results of the DMS which include the type/area of land, name of the householder, number of the land, type of ground attachments, compensation rate and total compensation were confirmed and signed by the farmers, the representatives from the LRB, village committee and CWE also endorsed and signed. An example of DMS table is presented as Figure 3 and a confirmation table was presented as Figure 4.

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Figure 7- Disclosure of DMS Result

Figure 8- Confirmation of DMS Result

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17. The result of DMS and related policies were once disclosed at the village’s bulletin board for 7 days as presented in Figure 5.

Figure 9- Jinya Village’s Bulletin Board

18. During implementation, great importance was paid to the public participation, and consultation meeting was organized. Public participation had made good achievements, and the needs of the villagers were incorporated into implementation.

19. In August 2015, one consultation meeting was held. Table 8 summaries the results of the meeting.

Table 13-Summaries of Consultation Meeting

Number Key concerns of Location Date Participants Solution measures of APs APs Have done. The affected farmers, representatives of village committees, CWE, and officials from LRB participated in the DMS. The results of the DMS which include the type/area of APs should join the land, name of the householder, number of DMS. the land, type of ground attachments, compensation rate and total compensation Jinya Officers from were confirmed and signed by the farmers, Village August LRB, 30 the representatives from the LRB, village committee 2015, township committee and CWE also endorsed and office government signed. The compensation should be directly Have done. paid to the AH’s bank account, not Each AHs received a cheque of Agriculture transferring through Bank of China, which had a branch office several government near the village committee’s office. agencies.

20. For graves, in addition to directly contacted the owners which were identified, CWE once published 3 notices on the Guiyang News Paper as Figure 6. Table 9 is the translated version. After the 3 notices, all affected graves were registered and relocated well.

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Figure 10 – Grave Remove Notice

Table 14 – Grave Remove Notice (English Version) Grave Remove Notice Grave Remove Re-notice Grave Remove Notice

Due to the construction of Jinyang Due to the construction of Jinyang Due to the landslide of Jinyang Wastewater Treatment Plant Phase Wastewater Treatment Plant Phase Wastewater Treatment Plant Phase 2, graves located from the back gate 2, graves located from the back gate 2, graves located from the back gate of the Yunyan District Jinya Village of the Yunyan District Jinya Village of the Yunyan District Jinya Village WWTP (Jinyang Wastewater WWTP (Jinyang Wastewater WWTP (Jinyang Wastewater Treatment Plant Phase 1) to Xiaohe Treatment Plant Phase 1) to Xiaohe Treatment Plant Phase 1) to West River Bridge need to be removed. River Bridge need to be removed. Beijing Road need to be removed. The owners need to register at the We have published a notice on The owners need to register at the Jinya Village Committee by 8 Guiyang News Paper (A6) on 24 Jinya Village Committee by 25 March December 2015. After that date, the November 2015. There are still some 2016. After that date, the graves will graves will be treated without remaining graves which have not be treated without owners. owners. been registered by the owners. So we publish the 2nd notice here. The

owners need to register at the Jinya Contact person: Contact person: Manager Liu Village Committee by 23 December (84851432) 2015. After that date, the graves will Liu Yumin be treated without owners. CWE Guizhou Company 18984177804

24 November 2015 Zhang Yitong Contact person: Manager Liu 18798013026 (84851432)

CWE Guizhou Company CWE Guizhou Company 9 December 2015 11 March 2016

2.1.6 Grievance Redress Mechanism

21. Complete appeal and grievance system was established to deal with the problems induced by land acquisition, so the APs could find relevant department for their appeal and grievance. Steps of appeal and grievance are shown as the following.

 If any AP was aggrieved by any aspect of the resettlement, he/she could state his/her grievance and appeal to village committee in oral or in written form. If an oral appeal was made, the village committee would record it on paper and process it. The village committee would make a decision on or resolve it in two weeks. There is a Suggestions & Complaints Box in the village committee, as presented in Figure 7.

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Figure 11 –Suggestions & Complaints Box

 If the aggrieved AP was not satisfied with the decision of the village committee, he/she could state the grievance and appeal to the Township Government in oral or in written form. The Township Government would decide on or resolve it in two weeks.

 If the aggrieved AP was not satisfied with the decision of the township government, he/she could appeal to the district LRB, which would reach a decision within two weeks.

22. According to Administration Procedure Law of the People’s Republic of China, the APs could appeal to administration departments who had administration rights for arbitration. If the APs were still dissatisfied at the decision of the arbitration, they could appeal to a people’s court according to the civil procedural law after receiving the decision of the arbitration.

23. The contact information of the related agencies has been disclosed to the AHs during LAR. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance from the affected people.

24. The director of WWTP is responsible for addressing other social and environmental concerns from community and other stakeholders. The nearby village leaders know the contact information of the director. The villagers can state his/her grievance and appeal to village leaders firstly or directly go to the company. The director of WWTP would record it and make a decision on or resolve it in two weeks.

2.1.7 Conclusion

25. 25.5773 mu land was acquired permanently for construction of the plant, including 23.2356 mu collective land and 2.3417 state-owned land. Land acquisition was completed by November 2015. Due to landslide in the end of 2015, 13.3374 mu collective land and 4.3944 mu state-owned land was acquired by June 2016.

26. Compensation and fund disbursement was conducted in accordance with the Land Administration Law of the People’s Republic of China and the applicable regulations of Guizhou Province and Guiyang City. The compensation and entitlements provided to the APs satisfy the requirement of ADB 2009 SPS S2. There is no outstanding noncompliance issue.

27. An effective organizational system has been established for the Project at all levels. The responsibilities of the agencies concerned are well defined and their staff is well trained, thereby promoting the successful implementation land acquisition. CEW joined the DMS and consultation activities.

28. During project preparation and implementation, many public participation activities were conducted to address the concerns of the affected households, such as the detailed measurement survey, the compensation rates, and disbursement of the compensation fees.

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29. The grievance redress channel for the APs is unobstructed and effective, and the APs know the appeal channels. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance.

2.1.8 Corrective Action

30. Land using for this subproject complies with the Land Using General Plan, and the approval of transferring farmland to construction land is pending. Corrective action plan is not required.

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2.2 Jinbai Wastewater Treatment Plant

2.2.1 Project Description

31. Jinbai Wastewater Treatment Plant is located in the northern region of Guanshanhu District, with a capacity of 30,000 m3/ day. The construction also includes 10,228 meters wastewater pipeline networks (including pumping station) along Jinlong Road.

32. Construction of this subproject was commenced on 20 January 2016 and will be completed by 30 October 2017. Pilot operation for some facilities commenced from 20 May 2017. The Plant is expected to commence commercial operation by the end of 2017.

2.2.2 Land Acquisition and Resettlement Impacts

33. The Pre-examination of Land Using for this subproject was issued by Guiyang City LRB on 31 December 2015, as presented Attachment 6 – Pre-examination of Land Using for Nanming River Environment Improvement Project (Phase 2- Stage 2). According to the Letter of Domestic Land Using Approval Procedures for Nanming River Environment Improvement Project (Phase 2) which is presented as Attachment 7, at present land using for this subproject does not comply with the Land Using General Plan, the LRB is adjusting the local Land Using Plan. Detailed land acquisition impacts of all components are presented in Table 10.

Table 15- LAR Impacts of the Subproject Components Collective land Date of (mu) Number No Component Agreement Remark of AHs Other Signed Village Farmland Subtotal land

55.6184 0 55.6184 65 2015-9-18 Within the red line 3.0149 0 3.0149 4 2015-11-7

land between the 1 Plant Changchong red line and the 17.9927 0 17.9927 40 2015-12-31 High-speed rail line Land outside of 5.5354 0 5.5354 28 2016-3-8 the red line

Subtotal 82.1614 0 82.1614 137

Zhuchang 14.2026 0 14.2026 10 2016-11-8 pumping 2 station Douguan 1.1868 0 1.1868 4 2016-12-15

Subtotal 15.3894 0 15.3894 14

Only temporary land occupation. 3 Pipeline 0 0 0 0 along the existed road

4 Access road 0 0 0 0 Existing road

Total 97.5508 0 97.5508 151

34. For the plant, totally 82.1614 mu collective land was acquired permanently from Changchong Village, Zhuchang Township of Guanshanhu District, including 58.6333 mu within boundary (red line) of the plant and 23.5281 mu outside of the red line. Based on consultation, these additional 23.5281 mu land was acquired based on the farmer’s request due to (i) it’s difficult for the farmers to farm on the small remaining piece of land; (ii) the farmers cannot go to the land between the plant and the High-speed rail line.

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Figure 12 – Jinbai Wastewater Treatment Plant

Figure 13- Land Acquired Outside of the Red Line for Jinbai WWTP

35. 4 land acquisition agreements were signed between the Changchong Village, Zhuchang Township of Guanshanhu District and the Guanshanhu District LRB. For land within the red line, land acquisition conducted from August 2015 to December 2015. For the additional 23.5281 mu land outside of the red line, land acquisition was completed by April 2016. Totally, land acquisition for the plant affected 137 HHs.

36. 15.3894 mu collective land was acquired for the construction of the pumping station, including 14.2026 mu from Zhuchang Village and 1.1868 mu from Douguan Village, Zhuchang Township of Guanshanhu District, affected 14 HHs.

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Figure 14- Pumping Station

Figure 15- Restored Jinzhu Road for Laying the Pipelines

37. There is no residential house demolition impact within the boundary of the plant. There is no residential household within the 100 meters buffer zone according to the EIA. The director of the WWTP who once joined DMS confirmed that there was no vulnerable group among the AHs.

38. On the collective land, the main affected ground attachments included trees and graves. 3.9332 mu nursery belonged to Xingshun Nursery Company was affected.

Table 16 – Ground Attachments Component Ground attachment Quantity Sweet scented osmanthus tree 3.0072 mu Plant Grave 1 Nursery 3.9332 mu (Xingshun Nursery Company) Sweet scented osmanthus tree 0.2869 mu (Douguan Village) Pumping station Sweet scented osmanthus tree 8.2873 mu (Zhuchang Village) Grave 25

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2.2.3 Compensation Rates and Cost

39. For land acquisition, the Guizhou Provincial Land Administrative Regulation (effective from January 1, 2000 and revised in 2010) and the Integrated Land Acquisition Price of Guiyang City (ZFF[2009] No. 100) is the policy basis. For farmland, the compensation was 73,600 yuan/mu, and compensation for standing crops was 1,500 yuan/mu.

40. For affected graves and trees, during implementation, a qualified agency was engaged to conduct the appraisal firstly, and the final compensation rates were determined based on the consultation with the affected farmers.

Table 17- Compensation Rates for Ground Attachment Ground attachment Compensation rate (yuan) Compensation 2,000 Moving allowance 1,800 Grave Award 1,000 Subtotal 4,800 Sweet scented osmanthus tree 6,000 (yuan/mu)

41. For the affected 3.9332 mu nursery, based on the appraisal conducted by Guizhou Huaxu Forest Survey and Design Company, 268,662.50 yuan was paid to the Xingshun Nursery Company.

42. The director of the plant confirmed that all compensation was paid directly to the AHs’s bank account within 7 days after signed the agreement.

2.2.4 Income Restoration and Relocation

43. Based on reviewing the yearbook and introduction from the director of plant who was involved in LA, land acquisition impact on the APs was very limited and their income can be restored based on the following analysis and reasons.

 Local people have not relied on land for long time. Averagely, the agricultural income before land acquisition was less than 10% of the total income of the AHs. In the affected villages, as most areas of China, the young people prefer to go out to work in the coast provinces or Guiyang City, and only the older people are farming on the land for own consumption. Due to the good location, people can easily find jobs in Guiyang City. The per HH land loss was 0.6 mu, and the per HH land holding before LA was 3 mu, so the income loss was only 2%.

 Most of the affected farmers deposited the compensation fund in the bank for future family affairs, such as childfen’s eduction. The annual interest is 2,392 yuan, which is higher than the net income from the land.

Table 18- Interest Generated by the Compensation Compensation rate Annual interest rate Annual interest Net income from land 73,600 yuan/mu 3.25% 2,392 1,500

 Pension system. When the farmers reach the retired age (55 for woman, and 60 for man), they can get the pension. Before land acquisition, land is regarded as the guarantee for the life in the PRC’s village. The pension system can solve this problem. The landless farmers who had signed the second round of land contract with village committees and are over 16 years of age can participate in social pension insurance depends on their own wishes. The cost of the household’s portion for landless farmers’ pension is paid by the individuals and the government, taking an approach of a lump sum paid in the land acquisition process, for which individuals pay 40%, subtracting from the land compensation fees and resettlement fees, and the government pays 60%. How much pension can be received per month is related to the amount of the pension in the special pension account of individuals. At present, the local labor and social security bureau just commenced the statistic work for the pension system based on the previous land acquisition for all projects. This policy is preferred by the older people especially.

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 Skill Training. Based on the request of the AHs, Guanshanhu District Agriculture Bureau and Labor and Socical Security Bureau provided vegetable planting trainings to the AHs in December 2015. Planting vegetable can increase the net income from the land from 1,500 yuan/mu to 4,000 yuan/mu annually.

 Job opportunities. The governemnt encourages the local companies/factories to employ the APs. For one job opportunity provided to the “35-40 group” (women who are more than 35 years old and men who are more than 40 years old), the company can get 1,000 yuan award. Each year, the Zhuchang Township Governemnt organize at least 3 job fairs for the farmers affeted by land acquisition. The jobs are mainly cleaner, guards, cashier, and housekeeper, which do not require high skill level.

44. 26 graves were affected and cash compensation was paid. The AHs relocated the graves in the cemetery or bought mountain land in the village.

2.2.5 Information Disclosure, Consultation and Participation

45. The affected farmers, representatives of village committees, and officials from LRB and CWE participated in the DMS. The results of the DMS which included the type/area of land, name of the householder, number of the land, type of ground attachments, compensation rate and total compensation were confirmed by the farmers in the field, as presented in Figure 12. The result of the DMS also was disclosed with a map in the villages as Figure 13.

Figure 16 - AHs Standed In the Field to Confirm the DMS Result

Figure 17- Disclosure of DMS Result

46. During implementation, great importance was paid to the public participation, and consultation meeting was organized. Public participation had made good achievements, and the needs of the villagers were incorporated into implementation. Table 14 summaries the results of the meeting.

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Table 19-Summaries of Consultation Meeting

Number Location Date Participants Key concerns of APs Solution measures of APs (i) it’s difficult for the farmers to farm on the small remaining piece of Changchong Officers from land after land August 23.5281 mu outside of the red line Village Village LRB, township 40 acquisition; 2015 was acquired. committee office government (ii) the farmers cannot go to the land between the plant and the High- speed rail line. For the affected 3.9332 mu nursery, based on the appraisal Xingshun Officers from The compensation for conducted by Guizhou Huaxu August Nursery LRB, township nursery should be Forest Survey and Design 2016 Company government appraised. Company, 268,662.50 yuan was paid to the Xingshun Nursery Company

2.2.6 Grievance Redress Mechanism

47. Complete appeal and grievance system was established to deal with the problems induced by land acquisition, so the APs could find relevant department for their appeal and grievance. Steps of appeal and grievance are shown as the following.

 If any AP was aggrieved by any aspect of the resettlement, he/she could state his/her grievance and appeal to village committee in oral or in written form. If an oral appeal was made, the village committee would record it on paper and process it. The village committee would make a decision on or resolve it in two weeks.

 If the aggrieved AP was not satisfied with the decision of the village committee, he/she could state the grievance and appeal to the Township Government in oral or in written form. The Township Government would decide on or resolve it in two weeks.

 If the aggrieved AP was not satisfied with the decision of the township government, he/she could appeal to the district LRB, which would reach a decision within two weeks.

48. According to Administration Procedure Law of the People’s Republic of China, the APs could appeal to administration departments who had administration rights for arbitration. If the APs were still dissatisfied at the decision of the arbitration, they could appeal to a people’s court according to the civil procedural law after receiving the decision of the arbitration.

49. The contact information of the related agencies has been disclosed to the AHs during LAR. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance from the affected people.

50. The director of WWTP is responsible for addressing other social and environmental concerns from community and other stakeholders. The nearby village leaders know the contact information of the director. The villagers can state his/her grievance and appeal to village leaders firstly or directly go to the company. The director of WWTP would record it and make a decision on or resolve it in two weeks.

2.2.7 Conclusion

51. For the plant, totally 82.1614 mu collective land was acquired permanently from Changchong Village, Zhuchang Township of Guanshanhu District from August 2015 to December 2015, including 58.6333 mu within boundary (red line) of the plant and 23.5281 mu outside of the red line. Totally, land acquisition for the plant affected 137 HHs. 15.3894 mu collective land was acquired for the construction of the pumping station by December 2016, affecting 14 HHs.

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52. Compensation and fund disbursement was conducted in accordance with the Land Administration Law of the People’s Republic of China and the applicable regulations of Guizhou Province and Guiyang City. The compensation and entitlements provided to the APs satisfy the requirement of ADB 2009 SPS S2. There is no outstanding noncompliance issue.

53. An effective organizational system has been established for the Project at all levels. The responsibilities of the agencies concerned are well defined and their staff is well trained, thereby promoting the successful implementation land acquisition. CEW joined the DMS and consultation activities.

54. During project preparation and implementation, many public participation activities were conducted to address the concerns of the affected households, such as the detailed measurement survey, the compensation rates, and disbursement of the compensation fees.

55. The grievance redress channel for the APs is unobstructed and effective, and the APs know the appeal channels. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance.

2.2.8 Corrective Action

56. Land using for this subproject does not comply with the Land Using General Plan, the LRB is adjusting the local Land Using Plan. CWE needs to present of the progress of adjustment of the Land Using Plan and approval of transferring agricultural land to construction land in the AESPR.

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2.3 Nanming River Riverbank Interception Channels and Grit Chamber Project

2.3.1 Project Description

57. The current wastewater generation rate has exceeded the treatment capacity of both Phase 1 and 2 of Xinzhuang Wastewater Treatment Plant, leading to large amount of untreated wastewater to be discharged into Nanming River directly. Wastewater with high grit content may also cause serious damage to the wastewater pre-treatment facilities and equipment, such as grit chambers and water pumps. According to the record of Xinzhuang Wastewater Treatment Plant Phase 1, the grit content per m3 of wastewater is approximately 0.08L.

58. In order to mitigate the above situations, the Nanming River Riverbank Interception Channels and Grit Chamber Project was designed with a capacity of 800,000 m³/day and is located at the West side of Xinzhuang Wastewater Treatment Plant Phase 1 and 10m away from Nanming River.

59. Construction of this subproject was commenced on 30 September 2015 and the grit chamber commenced commercial operation on 14 July 2017.

2.3.2 Land Acquisition and Resettlement Impacts

60. The Pre-examination of Land Using for this subproject was issued by Guiyang City LRB on 31 December 2015, as presented Attachment 6 – Pre-examination of Land Using for Nanming River Environment Improvement Project (Phase 2- Stage 2). According to the Letter of Domestic Land Using Approval Procedures for Nanming River Environment Improvement Project (Phase 2) which is presented as Attachment 7, at present land using for this subproject does not comply with the Land Using General Plan, the LRB is adjusting the local Land Using Plan. Detailed land acquisition impacts of all components are presented in Table 15.

Figure 18 - Project Site

61. 8.8464 mu collective land was acquired for this project, which included 6.9839 mu within the red line and 1.8625 mu outside of the red line. 1.8625 mu land was used as spoil ground by the construction contractor during construction of the Xinzhuang WWTP in 2007, however, the land was not restored. 5 mu was acquired from Group 2 of Team 1, and 3.8464 was acquired from Group 1 of Team 1. See Table 15. The land was contracted to 15 HHs, however, there were no farming activities on the land before land acquisition. Land acquisition was completed by October 2015.

Table 20- LAR Impacts for Nanming River Riverbank Interception Channels and Grit Chamber Project Location Affected Group Within the Outside of the Subtotal Group 1 of Team Group 2 of Team Subtotal redline redline 1 1 6.9839 mu 1.8625 mu 8.8464 mu 5 mu 3.8464 mu 8.8464 mu

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62. There is no residential house demolition impact within the red line of the project. There is no residential household within the 100 meters buffer zone according to the EIA.

2.3.3 Compensation and Resettlement

63. For land acquisition, the Guizhou Provincial Land Administrative Regulation (effective from January 1, 2000 and revised in 2010) and the Integrated Land Acquisition Price of Guiyang City (ZFF[2009] No. 100) is the policy basis. The compensation was 115,500 yuan/mu, included 99,000 yuan/mu as land compensation and 4,500 yuan/mu as compensation for standing crops. In additional to compensation, based on the WFB 2012 No.64, an award of 12,000 yuan/mu was provided as support to the AHs due to there’s no more planting after the cut-off date.

Table 21- Compensation Rate for Land Acquisition No Item Rate Village AH committee 1 Land compensation Standing crops Subtotal 99,000 4,500 103,500 7,920 95,580 2 Award/additional support fund 12,000 12,000 0 12,000 Subtotal 115,500

64. Figure 15 is the receipt from Wudang Village Committee. The total amount of payment is 1,026,759.2 yuan, including 1,021,759.2 yuan compensation (115,500 yuan/mu multiply 8.8464 mu) and 5,000 yuan as work expense.

Figure 19- Land Compensation Receipt from Wudang Village Committee

2.3.4 Information Disclosure, Consultation and Participation

65. During implementation, great importance was paid to the public participation, and 1 consultation meeting was organized on 7 September 2015. Table 17 summaries the results of the meeting.

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Table 22-Summaries of Consultation Meeting

Location Date Participants Key concerns of APs Solution measures 1.8625 mu land was used as spoil 1 Officer from Xinzhuang ground by the construction 1.8625 mu land was 7 government, 2 officers Village contractor during construction of acquired together September from village committee, 11 committee the Xinzhuang WWTP in 2007, with the land within 2015 representatives of office however, the land was not the red line. villagers restored. Although the land have not been Xinzhuang 2 officers from village 23 farmed by the villagers, the land All 8.8464 mu land Village Village committee, 15 September should be identified as farmland was compensated as committee representatives of 2015 as registered in the village farmland. office villagers committee.

66. The DMS was conducted on 8 September 2015. The affected farmers, representatives of village committees, and officials from measurement agency and CWE participated in the DMS and endorsed the result, as presented in Figure 16. The result of the DMS also was disclosed in the village, as presented in Figure 17.

Figure 20 - DMS Registration and Confirmation Form

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Figure 21 - Disclosure of Result of DMS for Xinzhuang WWTP Grit Chamber Project All AHs: Construction of Xinzhuang WWTP Grit Chamber Project will acquire the land from Xinzhuang Village. With the support and understanding of the AHs, the DMS has been completed. 1. the result of DMS will be disclosed from 24 September 2015 to 27 September 2015. 2. During the mentioned dates, if you have any complaints, you can contact the LA working group. Also, there is a complaint box at the village committee. 3.Whoever revise or tear up this notice shall be investigated for legal responsibility according to la w. 4. After the disclosing dates, if the AHs still have disputes on the result of DMS, the LA working group will go to the site to check and the final solution will be recorded.

Contact person Jiang Feng: 15285078488 Xia Zeyong: 13985466719

High-tech Development Zone of Wudang District Xinzhuang Village Committee 24 September 2015

67. For the 6.9839 mu within the red line, before land acquisition, there were no agricultural activities on the land due to bad irrigation. The AHs have abandoned the land, so cash compensation was a direct additional benefit to the AHs. 1.8625 mu land was used as spoil ground by the construction contractor during construction of the Xinzhuang WWTP in 2007, however, the land was not restored. So land acquisition of this piece of land solved the remaining issue and the AHs were satisfied.

2.3.5 Grievance Redress Mechanism

68. Complete appeal and grievance system was established to deal with the problems induced by land acquisition, so the APs could find relevant department for their appeal and grievance. Steps of appeal and grievance are shown as the following.

 If any AP was aggrieved by any aspect of the resettlement, he/she could state his/her grievance and appeal to village committee in oral or in written form. If an oral appeal was made, the village committee would record it on paper and process it. The village committee would make a decision on or resolve it in two weeks.  If the aggrieved AP was not satisfied with the decision of the village committee, he/she could state the grievance and appeal to the Township Government in oral or in written form. The Township Government would decide on or resolve it in two weeks.  If the aggrieved AP was not satisfied with the decision of the township government, he/she could appeal to the district LRB, which would reach a decision within two weeks.

69. According to Administration Procedure Law of the People’s Republic of China, the APs could appeal to administration departments who had administration rights for arbitration. If the APs were still dissatisfied at the decision of the arbitration, they could appeal to a people’s court according to the civil procedural law after receiving the decision of the arbitration.

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70. The contact information of the related agencies has been disclosed to the AHs during LAR, as presented in Figure 16. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance from the affected people.

2.3.6 Conclusion

71. 8.8464 mu collective land was acquired for this project, which included 6.9839 mu within the red line and 1.8625 mu outside of the red line. Land acquisition was completed by October 2015.

72. Compensation and fund disbursement was conducted in accordance with the Land Administration Law of the People’s Republic of China and the applicable regulations of Guizhou Province and Guiyang City. The compensation and entitlements provided to the APs satisfy the requirement of ADB 2009 SPS S2. There is no outstanding noncompliance issue.

73. An effective organizational system has been established for the Project at all levels. The responsibilities of the agencies concerned are well defined and their staff is well trained, thereby promoting the successful implementation land acquisition. CEW joined the DMS and consultation activities.

74. During project preparation and implementation, many public participation activities were conducted to address the concerns of the affected households, such as the detailed measurement survey, the compensation rates, and disbursement of the compensation fees.

75. The grievance redress channel for the APs is unobstructed and effective, and the APs know the appeal channels. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance.

2.3.7 Corrective Action

76. Land using for this subproject does not comply with the Land Using General Plan, the LRB is adjusting the local Land Using Plan. CWE needs to present of the progress of adjustment of the Land Using Plan and approval of transferring agricultural land to construction land in the AESPR.

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2.4 Nanming River Basin Remote Sensing Monitoring

77. The Nanming River Basin Remote Sensing Monitoring Project is designed to monitor water quality parameters of Nanming River and to develop a database with statistics and images, which can be used to study historical and future changes of water clarity within the region. As the traditional river water quality monitoring method involves manual sampling processes which are time consuming with high difficulties to trace the source of pollution, remote sensing monitoring techniques with high accuracy and efficiency will be applied.

78. High resolution satellite remote sensing technology will be used to monitor the quality of the main stream of Nanming River and tributaries including Xiaoche River, Shixi River and Guancheng River. Statistical data of river color, transparency, turbidity as well as the amount of chlorophyll and suspended particles will be captured, which allows water quality variation trends to be identified and analyzed. For critical sections of Nanming River, Unmanned Aerial Vehicle (UAV) remote sensing technology will be applied to obtain high spatiotemporal remote sensing imagery of multispectral and thermal infrared data, for the monitoring of surface water quality at specific regions.

79. This Project was planned to commence after the completion of the wastewater treatment plants and pipe network constructions under the Nanming River Watershed Management Project Phase 2 – Stage 2, with an implementation period of 1 year.

80. There is no infrastructure construction and operation under this project, so there’s no land acquisition and resettlement impact.

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2.5 Guiyang City Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment

81. The Nanming River Biological Survey, Water Quality Monitoring, Ecological Assessment Project involves the conduct of comprehensive studies on the health of Nanming River’s ecosystems and ecological environments, including aspects of water quality, water biology, hydrology and hydrodynamics. Based on these information, local databases could be developed which further benefit the designs of ecological risk management strategies and systems. The assessments will be conducted for nine tributaries of Nanming River, including Chetian River, Chenliang River, Mati River, Xiaoche River, Shixi River, Guancheng River, Songxi River, Yuliang River and Yudong River, which has an area of over 1,400 km2 in total.

82. This Project will commence after the completion of the wastewater treatment plants and pipe network constructions under the Nanming River Watershed Management Project Phase 2 – Stage 2, with an implementation period of 2 years.

83. There is no infrastructure construction and operation under this project, so there’s no land acquisition and resettlement impact.

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2.6 Guiyang City Huaxi River Water Environment Integrated Management Project

2.6.1 Project Description

84. The Huaxi River Water Environment Integrated Management Project was designed to mitigate the severe pollution of Huaxi River as a result of the city’s rapid urbanization. The scope of the integrated management and LAR impacts are presented in Table 18. Construction was commenced on 29 March 2016. This sub-project is expected to complete construction and commence commercial operation in January 2018.

Table 23- Project Scope and LAR Impacts of Huaxi River Water Environment Integrated Management Project No Component Description LAR Impacts 1 Water Quality Five monitoring stations will be constructed within the No Monitoring area from Huaxi Reservoir to Sanjiangkou, and all monitored data will be shared with the local Ecological Committee for integrated management. 2 Landscape Pavement renovations and installation of stone fences No. renovation of the will be conducted for the interception channel at Huaxi river River downstream, in order to enhance aspects of river Construction is within the river downstream safety, functionality and landscape environment. The bank, which is stated owned renovation area is approximately 4km in length. land. 3 Reconstruction The drainage systems within the area from Huaxi 21.4 mu land acquisition of drainage Reservoir to Sanjiangkou of approximately 14km in systems for length will be reconstructed and upgraded to control the performance exogenous pollution of Huaxi River. improvements 4 Reconstruction Three fixed dams will be reconstructed and upgraded No. of fixed dams for with six new manual gates installed, to reduce the performance sediments stored at the dams. Construction is within the river improvements bank, which is stated owned land.

2.6.2 Impacts and Compensation Rates

85. The Pre-examination of Land Using for this subproject was issued by Guiyang City LRB on 31 December 2015, as presented Attachment 6 – Pre-examination of Land Using for Nanming River Environment Improvement Project (Phase 2- Stage 2).

Figure 22- Affected Land in Luoping Village 86. 21.4 mu land will be acquired permanently from Luoping Village of Huaxi District, affecting 80 HHs. DMS was completed by August 2017. For land acquisition, the Guizhou Provincial Land Administrative

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Regulation (effective from January 1, 2000 and revised in 2010) and the Integrated Land Acquisition Price of Guiyang City (ZFF[2009] No. 100) is the policy basis. For land acquisition, the compensation rate is 1,179,000 yuan/mu. CWE has allocated estimated 2,946,694 yuan to Huaxi District Financial Bureau on 29 March 2016 in advance, as presented in Figure 19. The compensation has not been distributed to the AHs. At present, there are other projects which will also acquire land from the Luoping Village, and the DMS is ongoing. The local farmers prefer to get the compensation together, which is planned in November 2017.

Table 24- LA Compensation Rates for Huaxi River Water Environment Integrated Management Project Item Type of land Rate (yuan/mu) Land compensation - 1,179,000 Class I 1,807 Standing crops Class II 1,468 Class III 1,134.5

Figure 23- Payment for Land Acquisition Cost for Huaxi River Water Environment Integrated Management Project

2.6.3 Income Restoration and Relocation

87. Luoping Village locates in the center of Huaxi District and the farmers have not relied on land for long years due to large scale land acquisition in the past. The distance from Luoping Village to Huaxi District Government is only 1 kilometer. Before land acquisition, due to remaining small piece of land, some farmers have abandoned the land, so land acquisition can release them from the land and bring direct cash income. Due to the good location, people can easily find jobs in Guiyang City. The director of this subproject also verified that during consultation, the local farmers all accept land acquisition. The per HH land loss is only 0.28 mu. If the affected farmers deposit the compensation fund in the bank, the annual interest is 3,831.75 yuan, which is much higher than the net income from the land. Table 25- Interest Generated by the Compensation Compensation rate Annual interest rate Annual interest Net income from land 117,900 yuan/mu 3.25% 3,831.75 1,500

88. Another main income is from the rent of the houses. Luoping Village locates in the center of Huaxi District, and there are a lot of factories nearby, so local people lease the houses to the migrant workers outside.

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2.6.4 Information Disclosure, Consultation and Participation

89. The affected farmers, representatives of village committees, and officials from LRB and CWE participated in the DMS. The results of the DMS which included the type/area of land, name of the householder, number of the land, type of ground attachments, compensation rate and total compensation were confirmed by the farmers.

90. As early as in March 2016, during site survey and design stage, great importance was paid to the public participation, and consultation meeting was organized. Public participation had made good achievements, and the needs of the villagers were incorporated into implementation. Table 21 summaries the results of the meeting.

Table 26-Summaries of Consultation Meeting

Number Solution Location Date Participants Key concerns of APs of APs measures Temporary land occupation is induced for laying the drainage pipelines. However, during Luoping consultation, the AHs request CWE to acquire the 21.4 mu land Village Officers from land permanently because: (i) Luoping Village March will be Village LRB, township 20 locates in the center of Huaxi District and the 2016 permanently committee government farmers have not relied on land for long years; (ii) acquired. office some land have been abandoned; and (iii) the AHs are worried about if the land can be restored after temporary land occupation.

2.6.5 Grievance Redress Mechanism

91. Complete appeal and grievance system was established to deal with the problems induced by land acquisition, so the APs could find relevant department for their appeal and grievance. Steps of appeal and grievance are shown as the following.

 If any AP was aggrieved by any aspect of the resettlement, he/she could state his/her grievance and appeal to village committee in oral or in written form. If an oral appeal was made, the village committee would record it on paper and process it. The village committee would make a decision on or resolve it in two weeks.

 If the aggrieved AP was not satisfied with the decision of the village committee, he/she could state the grievance and appeal to the Township Government in oral or in written form. The Township Government would decide on or resolve it in two weeks.

 If the aggrieved AP was not satisfied with the decision of the township government, he/she could appeal to the district LRB, which would reach a decision within two weeks.

92. According to Administration Procedure Law of the People’s Republic of China, the APs could appeal to administration departments who had administration rights for arbitration. If the APs were still dissatisfied at the decision of the arbitration, they could appeal to a people’s court according to the civil procedural law after receiving the decision of the arbitration.

93. The contact information of the related agencies has been disclosed to the AHs during DMS. The related government agencies confirmed that up to now, those agencies had not received any appeal and grievance from the affected people.

2.6.6 Conclusion

94. 21.4 mu land will be acquired permanently from Luoping Village of Huaxi District. The compensation has not been distributed to the AHs. At present, there are other projects which will also acquire land from the Luoping Village, and the DMS is ongoing. The local farmers prefer to get the compensation together, which is planned in November 2017.

2.6.7 Corrective Action

95. In the Annual Environment and Social Performance Report, CWE needs to present the land acquisition progress, distribution of compensation and if there is any complaint received for this project.

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3. Corrective Action Plan

96. For Jinyang Wastewater Treatment Plant Phase 2, there is no remaining issue and corrective actions are not required.

97. For Jinbai Wastewater Treatment Plant and Nanming River Riverbank Interception Channels and Grit Chamber Project, there are some remaining procedural issues which need to be addressed by CWE and local government. Although the Pre-examination of Land Using for these 2 subprojects was issued by Guiyang City LRB on 31 December 2015, land using for these 2 subprojects do not comply with the Land Using General Plan, and the LRB is adjusting the local Land Using Plan. CWE needs to present of the progress of adjustment of the Land Using Plan and approval of transferring agricultural land to construction land in the AESPR.

98. For Guiyang City Huaxi River Water Environment Integrated Management Project, DMS was completed by August 2017. The compensation has not been distributed to the AHs. In the Annual Environment and Social Performance Report, CWE needs to present the land acquisition progress, distribution of compensation and if there is any complaint received for this project.

99. Detailed progress, conclusion and corrective actions for LAR of all projects are presented as Table 22.

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Table 27- Progress, Conclusions and Corrective Actions for LAR of All Projects No Project LA HD Status Remaining issues Corrective actions Impact Number of Impact Number of AHs AHs 1 Jinyang Wastewater 25.5773 mu land was 34 0 0 Completed No No Treatment Plant Phase acquired permanently for 2 construction of the plant, including 23.2356 mu collective land and 2.3417 state-owned land. Land acquisition was completed by November 2015. Due to landslide in the end of 2015, 13.3374 mu collective land and 4.3944 mu state-owned land was acquired by June 2016. 2 Jinbai Wastewater For the plant, totally 82.1614 151 0 0 Completed Land using for this CWE needs to present of the Treatment Plant mu collective land was subproject does not progress of adjustment of the acquired from August 2015 comply with the Land Land Using Plan and approval to December 2015, including Using General Plan, the of transferring agricultural 58.6333 mu within boundary LRB is adjusting the local land to construction land in (red line) of the plant and Land Using Plan. the AESPR. 23.5281 mu outside of the red line. 15.3894 mu collective land was acquired for the construction of the pumping station by December 2016. 3 Nanming River 8.8464 mu collective land 15 0 0 Completed Land using for this CWE needs to present of the Riverbank Interception was acquired for this project, subproject does not progress of adjustment of the Channels and Grit which included 6.9839 mu comply with the Land Land Using Plan and approval Chamber Project within the red line and Using General Plan, the of transferring agricultural 1.8625 mu outside of the red LRB is adjusting the local land to construction land in line. Land acquisition was Land Using Plan. the AESPR. completed by October 2015. 4 Nanming River Basin No impact NA NA NA NA NA NA Remote Sensing Monitoring 5 Guiyang City Nanming No impact NA NA NA NA NA NA

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No Project LA HD Status Remaining issues Corrective actions Impact Number of Impact Number of AHs AHs River Biological Survey, Water Quality Monitoring, Ecological Assessment 6 Guiyang City Huaxi 21.4 mu land will be 80 0 0 0ngoing DMS was completed by In the Annual Environment River Water acquired. August 2017. and Social Performance Environment Integrated Report, CWE needs to Management Project The compensation has present the land acquisition not been distributed to progress, distribution of the AHs. compensation and if there is It’s planned that the any complaint received for compensation will be this project. distributed to the AHs by November 2017.

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Attachment 4: Approval of Project Proposal

Approval of project proposal for Nanming River Watershed Management Project Phase 2 – Stage 2 GFGHZ[2015] No.548 Description of this Project as described in this document is presented in section 1.1. Guiyang City Development and Reform Committee on 17 August 2015

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Attachment 5: List of Persons Met

Number Name Agency Title 1 Han Luyao CWE Beijing Headquarter Manager 2 Li Jianqiang CWE Guiyang CFO 3 Xuan Yaoting CWE Guiyang LA staff 4 Miss.Li CWE Guiyang HR Manager 5 Mr.Liu Jinyang Wastewater Treatment Manager Plant Phase 2 6 Mr.Xiao Hunan Construction Group Manager (contractor for Jinyang Wastewater Treatment Plant Phase 2) 7 Mr.Meng Jinya Village Committee Director 8 Chen Guanghua Jinya Village AP 9 Mr.Chang Jinbai WWTP Manager 10 Luo Zhengning Changchong Village AP 11 Li Ronghua Changchong Village AP 12 Yang Xiujing Guiyang City Huaxi River Water Manager Environment Integrated Management Project 13 Mr. Sun Nanming River Riverbank Manager Interception Channels and Grit Chamber Project

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Attachment 6: Pre-examination of Land Using for Nanming River Environment Improvement Project (Phase 2- Stage 2)

Key provisions: (i) Pre-examination of land using for Jinyang Wastewater Treatment Plant Phase 2, Jinbai Wastewater Treatment Plant, Nanming River Riverbank Interception Channels and Grit Chamber Project, Guiyang City Huaxi River Water Environment Integrated Management Project is approved. (ii) the proposed area of the Project is 7.0347 ha (105.5205 mu). (iii) The project owner and the design agency should minimize the land acquisition impacts;

Issued by Guiyang LRB on 31 December 2015

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Attachment 7: Letter of Domestic Land Using Approval Procedures for Nanming River Environment Improvement Project (Phase 2)

Key provisions: (i) At present, Nanming River Riverbank Interception Channels and Grit Chamber Project and Jinbai Wastewater Treatment Plant does not comply with the Land Using General Plan, the LRB is adjusting the local Land Using Plan accordingly. After that, the approval of transferring farmland to construction land will be issued. (ii) Land using for Jinyang WWTP (phase 2) complies with the Land Using General Plan, and the approval of transferring farmland to construction land is pending.

Issued by Guiyang LRB on 21 April 2017

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Attachment 8: List of IUCN Status of Species from the Project Area

Name IUCN Status Assessment Information Amphibian Bufo gargarizans Least Concern Listed as Least Concern in view of its wide distribution, (Asian Toad) tolerance of a broad range of habitats, presumed large population, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Fejervarya limnocharis Least Concern Listed as Least Concern in view of its very wide distribution, (Asian Glass Frog) tolerance of a broad range of habitats, presumed large population, and because its population appears to be stable at present. Rhynchophis boulengeri Least Concern Listed as Least Concern as although there is some limited (Rhinoceros Snake) collection for the pet trade, this is not believed to significantly impact this widespread species overall. Odorrana schmackeri Least Concern Listed as Least Concern in view of its wide distribution, (Schmacker’s Frog) presumed large population, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Hyla annectans Least Concern Listed as Least Concern in view of its wide distribution, (Assam Tree Frog) tolerance of a broad range of habitats, presumed large population, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Polypedates leucomystax Least Concern Listed as Least Concern in view of its wide distribution, (White-lipped Tree Frog) tolerance of a broad range of habitats, presumed large population, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Microhyla heymonsi Least Concern Listed as Least Concern in view of its wide distribution, (Dark Sided Chorus Frog) tolerance of a broad range of habitats, presumed large population, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Micryletta inornata Least Concern Listed as Least Concern in view of its wide distribution, (Deli Paddy Frog) tolerance of a degree of habitat modification, presumed large population, and because it is unlikely to be declining to qualify for listing in a more threatened category. Reptiles Lygosoma lineata Least Concern Lygosoma lineata is assessed as Least Concern as it is a (Lined Supple Skink) widely distributed species. Its total extent of occurrence (EOO) is greater than 20,000 km². Elaphe porphyracea - Not evaluated on the IUCN Red List. (Black-banded Trinket Snake) Natrix octolineata Least Concern Listed as Least Concern in view of its wide distribution, (Eight-lined Keelback) presumed large population, and because it is not subject to major threats and so is presumed to occur as a stable population. Elaphe taeniura - Not evaluated on the IUCN Red List. (Beauty Rat Snake) Trimeresurus stejnegeri Least Concern Listed as Least Concern in view of its wide distribution, (Chinese Green Tree Viper) presumed large overall population, and because it is unlikely to be declining. Bird Egretta garzetta Least Concern This species has an extremely large range, and hence (Little Egret) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be increasing, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Milvus migrans Least Concern Despite the fact that the population trend appears to be (Black Kite) decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the

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Name IUCN Status Assessment Information population trend criterion. The population size is extremely large, and hence does not approach the thresholds for Vulnerable under the population size criterion. For these reasons the species is evaluated as Least Concern. Falco tinnunculus Least Concern Despite the fact that the population trend appears to be (Kestrel) decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. The population size is extremely large, and hence does not approach the thresholds for Vulnerable under the population size criterion. For these reasons the species is evaluated as Least Concern. Streptopelia orientalis Least Concern This species has an extremely large range, and hence (Oriental Turtle Dove) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Spilopelia chinensis Least Concern This species has an extremely large range, and hence (Spotted Dove) does not approach the thresholds for Vulnerable under the range size criterion The population trend appears to be increasing, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion For these reasons the species is evaluated as Least Concern. Cuculus micropterus Least Concern This species has an extremely large range, and hence (Indian Cuckoo) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Glaucidium cuculoides Least Concern This species has an extremely large range, and hence (Asian Barred Owlet) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be increasing, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Upupa epops Least Concern This species has an extremely large range, and hence (Hoopoe) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Picus canus Least Concern This species has an extremely large range, and hence (Grey-faced Wookpecker) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be increasing therefore the species is not believed to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Dendrocopos hyperythrus Least Concern This species has an extremely large range, and hence (Rufous-bellied does not approach the thresholds for Vulnerable under the Woodpecker) range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern.

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Name IUCN Status Assessment Information Alauda gulgula Least Concern This species has an extremely large range, and hence (Oriental Skylark) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Hirundo rustica Least Concern This species has an extremely large range, and hence (Barn Swallow) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Cecropis daurica Least Concern This species has an extremely large range, and hence (Red-rumped Swallow) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Motacilla cinerea Least Concern This species has an extremely large range, and hence (Grey Wagtail) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Motacilla alba Least Concern This species has a very large range, and hence does not (White Wagtail) approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Pericrocotus roseus Least Concern This species has an extremely large range, and hence (Rosy Minivet) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Spizixos semitorques Least Concern This species has an extremely large range, and hence (Collared Finchbill) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Pycnonotus xanthorrhous Least Concern This species has an extremely large range, and hence (Brown-breasted Bulbul) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Lanius schach Least Concern This species has an extremely large range, and hence (Long-tailed Shrike) does not approach the thresholds for Vulnerable under the range size criterion. The population trend is not known, but the population is not believed to be decreasing sufficiently rapidly to approach the thresholds under the population

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Name IUCN Status Assessment Information trend. For these reasons the species is evaluated as Least Concern. Acridotheres cristatellus Least Concern This species has an extremely large range, and hence (Crested Myna) does not approach the thresholds for Vulnerable under the range size. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Urocissa erythroryncha Least Concern This species has an extremely large range, and hence (Red-billed Blue Magpie) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be increasing, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Garrulus glandarius Least Concern This species has an extremely large range, and hence (Eurasian Jay) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Tarsiger cyanurus Least Concern This species has an extremely large range, and hence (Orange-flanked Bush- does not approach the thresholds for Vulnerable under the robin) range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Copsychus saularis Least Concern This species has an extremely large range, and hence (Oriental Magpie-robin) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Myophonus caeruleus Least Concern This species has an extremely large range, and hence (Blue Whistling-thrush) does not approach the thresholds for Vulnerable under the range size criterion. The population trend is not known, but the population is not believed to be decreasing sufficiently rapidly to approach the thresholds under the population trend criterion. For these reasons the species is evaluated as Least Concern. Turdus merula Least Concern This species has an extremely large range, and hence (Eurasian Blackbird) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be increasing, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Garrulax perspicillatus Least Concern This species has an extremely large range, and hence (Masked Laughing-thrush) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Monticola solitaries Least Concern This species has an extremely large range, and hence (Blue Rock-thrush) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the

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Name IUCN Status Assessment Information thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Pomatorhinus erythrogenys Least Concern This species has a very large range, and hence does not (Rusty-cheeked Scimitar- approach the thresholds for Vulnerable under the range babbler) size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Zoothera dauma Least Concern This species has an extremely large range, and hence (Scaly Thrush) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Cyanoderma ruficeps Least Concern This species has an extremely large range, and hence (Rufous-capped Babbler) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Babax lanceolatus Least Concern This species has an extremely large range, and hence (Chinese Babax) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Garrulax cineraceus Least Concern This species has a very large range, and hence does not (Western Moustached approach the thresholds for Vulnerable under the range Laughing-thrush) size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Alcippe morrisonia Least Concern This species has an extremely large range, and hence (Grey-cheeked Fulvetta) does not approach the thresholds for Vulnerable under the range size criterion. The population trend is not known, but the population is not believed to be decreasing sufficiently rapidly to approach the thresholds under the population trend criterion. For these reasons the species is evaluated as Least Concern. Paradoxornis webbianus Least Concern This species has an extremely large range, and hence (Vinous-throated Parrotbill) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Garrulax canorus Least Concern This species has an extremely large range, and hence (Chinese Hwamei) does not approach the thresholds for Vulnerable under the range size criterion. The population may be in decline overall, but it is not believed to be decreasing sufficiently rapidly to approach the thresholds under the population trend criterion. For these reasons the species is evaluated as Least Concern. Prinia criniger Least Concern This species has an extremely large range, and hence (Striated Prinia) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be

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Name IUCN Status Assessment Information stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Phylloscopus proregulus Least Concern This species has an extremely large range, and hence (Pallas’s Leaf-warbler) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Seicercus burkii Least Concern This species has an extremely large range, and hence (Green-crowned Warbler) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Prinia polychroa Least Concern This species has a very large range, and hence does not (Brown Prinia) approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Parus major Least Concern This species has an extremely large range, and hence (Great Tit) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be increasing, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Passer domesticus Least Concern This species has an extremely large range, and hence (House Sparrow) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Passer cinnamomeus Least Concern This species has an extremely large range, and hence (Russet Sparrow) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Lonchura striata Least Concern This species has an extremely large range, and hence (White-rumped Munia) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Carduelis sinica Least Concern This species has an extremely large range, and hence (Oriental Greenfinch) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Emberiza elegans Least Concern This species has an extremely large range, and hence (Yellow-throated Bunting) does not approach the thresholds for Vulnerable under the

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Name IUCN Status Assessment Information range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Emberiza cioides Least Concern This species has an extremely large range, and hence (Meadow Bunting) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Aethopyga gouldiae Least Concern This species has an extremely large range, and hence (Gould’s Sunbird) does not approach the thresholds for Vulnerable under the range size criterion. The population trend appears to be stable, and hence the species does not approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Zosterops japonicas Least Concern This species has an extremely large range, and hence (Japanese White-eye) does not approach the thresholds for Vulnerable under the range size criterion. The population trend is not known, but the population is not believed to be decreasing sufficiently rapidly to approach the thresholds under the population trend criterion. For these reasons the species is evaluated as Least Concern. Porzana fusca Least Concern This species has an extremely large range, and hence (Ruddy-breasted Crake) does not approach the thresholds for Vulnerable under the range size criterion. Despite the fact that the population trend appears to be decreasing, the decline is not believed to be sufficiently rapid to approach the thresholds for Vulnerable under the population trend criterion. For these reasons the species is evaluated as Least Concern. Mammals Rhinolophus rex Least Concern Listed as Least Concern because its extent of occurrence (King Horseshoe Bat) is much greater than 20,000 km², and although there is no current population information, it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Hipposideros armiger Least Concern Listed as Least Concern in view of its wide distribution, (Great Roundleaf Bat) presumed large population, it occurs in a number of protected areas, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Lepus comus Least Concern This species is widespread, that occurs in protected (Yunnan Hare) areas. Lepus comus is reported as being very common by local inhabitants of the region. It is likely that the population is secure due to its occurrence in remote regions in southwestern China. Isolation on mountains due to encroaching agriculture in surrounding valleys, may pose a threat, but more information is needed. Dremomys pernyi Least Concern Listed as Least Concern in view of its wide distribution, (Perny’s Long-nosed presumed large population, it occurs in a number of Squirrel) protected areas, and because it is unlikely to be declining fast enough to qualify for listing in a more threatened category. Rattus flavipectus Least Concern Not evaluated on the IUCN Red List. (Yellow-breasted Rat) Rattus norvegicus Least Concern A common species with no major threats. Listed as Least (Brown Rat) Concern.

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Name IUCN Status Assessment Information Mus musculus Least Concern A widespread and abundant species that thrives in (House Mouse) anthropogenic habitats, hence listed as Least Concern. Mustela kathiah Least Concern Yellow-bellied Weasel is listed as Least Concern in view of (Yellow-bellied Weasel) its wide distribution, presumed large population, occurrence in a number of protected areas, and its evident tolerance of heavy habitat degradation and intensive use of non-selective hunting methods. Although forest conversion is continuing rapidly in South-east Asia, the main populations of this species are in hill forest, which has markedly lower clearance rates than do level lowland forests, In short, there is a lack of any plausible identified threat that could be driving declines at rates to qualify for listing even as Near Threatened.

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